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must constantly develop our products and even be market trailblazers.”



President of MarMa Polskie folie rzeszów







































We live in hard times" is something many people living in different countries probably say on a daily basis. But it seems that Poland is a place where this should not really be the case. For the first time in hundreds of years, the people of Poland have enjoyed peace for over 70 years. Prospects do not seem too bad, either, even though the world around has its ups and downs, and not everyone has a good reason to be cheerful. For several months now, the world economy has been bombarded by doomsayers with visions of an imminent slowdown, and even recession. But it is actually difficult to say whether a recession is genuinely round the corner, or is it a case of self-fulfilling prophecies. The latter is supported by the fact that there do not seem to be any uniform trends, neither when it comes to market segments, nor in the geographical sense. It is true that, for various reasons, different groups of investors are less keen to spend their money. But in the US - in spite of President Trump's tense relationship with the FED and various business groups - this fear of investing can only be seen in the bond market, where indicators have hit the bottom, as defined by Goldman Sachs. Technically, the German economy, rightly described as the engine of European growth, has indeed had a brush with recession. But the fierce debate on its next year's budget shows how seriously it takes the need to change priorities and its growth model. The British economy has slowed down for completely different reasons. PostBrexit Britain still remains a mystery, and catastrophic predictions have a negative impact not just on the UK economy, but also on those of its European partners. Disturbing news is also coming from other parts of the world. The US-China trade war has undermined Chinese exports, which is reflected not only in Sinocentric Asia, but also in Europe. Other great

unknowns include the escalating tension in the Middle East and the Gulf, Argentina’s woes and the African demographic bomb that is still ticking over Europe. So the world has plenty to think about. Poland managed to withstand the last global crisis unscathed. Polish society has also enjoyed the benefits of the past four fat years, and seems to have developed a taste for more. But can these expectations be met? For now, Poland’s macroeconomic data especially regarding growth - appear very sound, compared to the rest of Europe. Yet some analysts are asking themselves if it is possible to sustain present growth levels in the long term. Exports have more than once influenced Poland’s growth rate, and 80% of them are bound for other EU markets. The Polish Ministry of Investment and Economic Development says that this share is decreasing, and Polish companies are very good at finding partners in other markets. This seems like an encouraging trend, but international events, such as a hard Brexit, the easing of the USChina conflict or a coordinated resumption of anti-recessionary policy by the ECB and the Fed, may prove decisive in this respect. The Polish political scene is also a factor. Of course, we have the most to do at home. The decades of plentiful cheap labour are a thing of the past. Objective conditions have arisen for wage increases, which means that ways must be found to make sure that productivity grows along with them. Balancing these factors will be crucial to sustain economic growth. Public finances must be kept in check. The shortage of bank assets has more than once proved to be a hurdle (e.g. when it comes to mortgages). Inflation must be kept under control, as older generation Poles are well aware that earning millions of zlotys does not necessarily mean being rich. Can the right conclusions be drawn from this not so distant past?

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

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10 (289)/2019


PUBLISHER: Oficyna Wydawnicza RYNEK POLSKI Sp. z o.o. (RYNEK POLSKI Publishers Co. Ltd.)

CONTRIBUTORS: Miłosz Dorsz, Agnieszka Turakiewicz, Mirosław Wdzięczkowski

PRESIDENT: Krystyna Woźniak-Trzosek

GRAPHIC DESIGN: Agnieszka Charuba, Joanna Wiktoria Grabowska

Polish Market :: 10 (289) /2019

VICE ‌PRESIDENTS: Błażej Grabowski, Grażyna Jaskuła

PU B LISHED SIncE 199 6 No. 10 (289) /2019 ::

ADDRESS: ul. Elektoralna 13, 00-137 Warszawa, Poland Phone (+48 22) 620 31 42, 652 95 77 Fax (+48 22) 620 31 37 E-mail:

........................ Congress 590 ........................ Hi-teCH MediCine ........................ FinanCial seCurity ........................


must constantly develop our products and even be market trailblazers.”



President of MarMa Polskie folie rzeszów

Cover: MARTA PÓŁTORAK, President of Marma Polskie Folie Photo source:, unless otherwise stated

EDITOR-IN-CHIEF: Krystyna Woźniak-Trzosek DEPUTY EDITOR-IN-CHIEF: Jerzy Mosoń ENGLISH EDITOR: Rafał Kiepuszewski WRITERS/EDITORS: Danuta Bierzańska, Jan Sosna, Maciej Proliński, Jerzy Bojanowicz, Jan Mazurek, Andrzej Kazimierski, Janusz Turakiewicz, Janusz Korzeń TRANSLATION: Sylwia Wesołowska-Betkier, Agit

ARTISTIC PHOTOGRAPHER: Bartosz Maciejewski SALES: Phone (+48 22) 620 38 34, 654 95 77 Marketing Manager: Magdalena Koprowicz DTP: Lili Projekt PRINTING: Zakłady Graficzne TAURUS – Roszkowscy Sp. z o. o., Oficyna Wydawnicza RYNEK POLSKI Sp. z o.o. Nr KRS 0000080385, Sąd Rejonowy dla Warszawy XII Wydział Gospodarczy Kapitał zakładowy 80.000,‌zł. REGON 011915685, NIP 526-11-62-572 Published articles represent the authors’ personal views only. The Editor and Publisher disclaim any responsibility or liability for their contents. Unsolicited material will not be returned. The editors reserve the right to edit the material for length and content. The editors accept no responsibility whatsoever for the content of advertising material. Reproduction of any material from this magazine requires prior written permission from the Publisher.




peaking on September 1 at ceremonies marking the 80th anniversary of the outbreak of World War II in Warsaw, Polish President Andrzej Duda said: "We remember and will remember, for we are grateful to all those who fought and sacrificed their lives for a free world." During the main ceremony in Piłsudskiego Square in central Warsaw, Andrzej Duda said that the war had taken the lives of nearly 80 million people. "Eighty milion, if we count not only those who were killed and murdered, but also those who died of hunger, disease and poverty. That’s 3% of the global population of the day. Looking at Europe, one could say that a big European country disappeared over the six years," he said. President Duda underlined that "mankind has drawn too few conclusions from this terrible lesson," and that ethnic cleansing and genocide still happen. The Polish head of state stressed that Poland disappeared from the map after the Nazi invasion of September 1939 was followed by a treacherous attack by the Soviet Union in the same month. He stressed that the entire nation was subjected to terror, while Polish citizens of Jewish descent were herded into ghettos and submitted to collective extermination. Addressing the ceremony, German President Frank-Walter Steinmeier said: " There

From left: US Vice-President Mike Pence and Polish President Andrzej Duda

is no place in Europe where it would be more difficult for me to speak and raise my voice in my German mother tongue. It is difficult for me to speak out loud to you," Steinmeier said. The German president said that his compatriots had waged a war which cost the lives of over 50 million people. This was a German crime,” he underlined.


(, PAP,,


ddressing a news conference i n Wa rsaw fol low i ng a meeting with US VicePresident Mike Pence on September 2, President Andrzej Duda expressed the hope that by the end of the year, final agreements would be signed regarding the expansion of the US military presence in Poland. He said that the details of trade, technology and energy cooperation were also discussed, along with the planned abolition of US visas for Polish citizens. Poland has already reached a threshold, allowing it to participate in the visa waiver programme. Now, certification must take place, and Poland is

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Visiting US Vice-President Mike Pence said it was a great honour for him to attend the ceremony on behalf of the US President Donald Trump, and the American people. He said that the gathering was taking place in the heart of Warsaw “to bear witness to the courage and spirit of a great nation, and the lasting strength of a great civilisation.”

FRESH OPENING expected to join the programme soon, said Mike Pence. The US Vice-President stressed that the US and Poland shall never be divided. “The alliance between our two countries is stronger than ever. We are not only allies, we are family,” he said. He added that US President Donald Trump intends to visit Poland in the autumn. He stressed he was honoured, on behalf of the American people, including ten million Americans of Polish descent, to be in Poland, “which is free, strong and secure.” Donald Trump was unable to visit Poland on September 1 due to the onset of hurricane Dorian.


ollowing talks with visiting Ukrainian President Volodymyr Zelensky on August 31, President Andrzej Duda told journalists in Warsaw that they had discussed issues "significant for the co-existence of our countries, our neighbourhood and the development of mutual relations." The subjects ranged "from historical issues to all elements of infrastructural development," he said, adding that they also concerned transport, peopleto-people contacts and political issues. President Duda said he had assured his Ukrainian counterpart of his support as regards "Ukraine's sovereignty, independence and territorial integrity." President Andrzej Duda asked Volodymyr Zelensky to lift the current moratorium on exhumation works in Ukraine of graves of Polish victims of massacres committed on Ukrainian territories during WWII. "President Zelensky told me that his new government is being formed now, but he promised me that this matter will be resolved," he added.




he US-Poland Strategic Dialogue on Energy group met in Warsaw on August 31. It was led by Secretary of State at the Prime Minister’s Office Piotr Naimski and US Energy Secretary Rick Perry. The delegations discussed joint projects in the areas of nuclear energy, fossil energy, energy infrastructure, and cybersecurity. The positive results of cooperation in LNG trade were highlighted, as demonstrated by a series of recent contracts for natural gas supplies concluded between Polish and US companies. Both delegations agreed on cooperation on the expansion of Poland’s natural gas infrastructure. Plans to hold a US-Poland Nuclear Industrial Forum in mid-November were announced. The Forum is intended to bring together Polish and US companies to support the development of Poland’s nuclear power programme. From left: Czech Prime Minister, Andrej Babiš and Polish Prime Minister Mateusz Morawiecki

From left: US Energy Secretary Rick Perry and Secretary of State at the Prime Minister’s Office Piotr Naimski

In another development, a Polish-US declaration on 5G mobile services was signed in Warsaw on September 2. The two countries declared their intention to intensify cooperation in this regard. 5G will enable a vast array of new applications, which will benefit ordinary citizens, it was stressed in the declaration. Increased amounts of data on 5G networks will further interconnect economies and facilitate cross-border services and commerce. Protecting these next generation communications networks from disruption or manipulation, and ensuring the privacy and individual liberties of the citizens of the United States, Poland, and other countries is of vital importance, it was noted in the document.



his year’s Polish-Czech consultations, held on August 28, were chaired by Prime Minister Mateusz Morawiecki and his Czech opposite number Andrej Babiš. The topics discussed included bilateral relations, cooperation in the region, recent issues on the EU agenda and the security policy. Prime Minister Morawiecki stressed

that Poland and the Czech Republic were compatible partners, and that they were fully agreed on the future EU budget. “The level of consistency and shared views we have achieved with the Czech Republic is unprecedented, and we are showing this in Brussels when discussing difficult subjects. There is also a consistent position with regard to the many changes happening in the European Union and the world in the area of climate and energy,” he pointed out. Mateusz Morawiecki stressed that Poland and the Czech Republic are industrialised countries, and that is why their approach to climate policy must be pragmatic, so as not to increase costs, household and corporate bills, while at the same time helping to take care of the environment. The talks also focused on infrastructure links. The two countries’ national defence ministers signed an agreement on cooperation in military aviation. It lays down rules concerning flights operated in the Polish and Czech airspace and cooperation within the NATO air defence system. A declaration on the development of inland waterways was also signed.



olish Prime Minister Mateusz Morawiecki took part in the opening of a key new section of the A1 motorway on August 2. The motorway is to ultimately link the Polish Baltic port city of Gdansk with the Czech border, thus providing a north-south transport corridor. “This road will bring improvement to the quality of the ordinary citizens’ lives, as well playing a major role in economic development,” said the Prime Minister during the opening ceremony of the Pyrzowice (Katowice Airport) to Częstochowa South section in the province of Silesia. Travel time on this section will shorten from 40 to 15 minutes. Two junctions have been built as part of the investment project, Częstochowa Południe and Woźniki. The Prime Minister stressed that another great step had been taken towards connecting Silesia with the province of Pomerania on the Baltic coast. Construction of the remaining section of the A1 motorway between the city of Częstochowa and Piotrków Trybunalski is underway. 9/2019 polish market




AND A HARD PLACE Maciej Proliński

On September 1, 1939, Nazi Germany launched an all-out attack on Poland. This marked the beginning of World War II. On September 17, 1939, Poland was invaded from the east by another aggressor, the USSR. On the 80th anniversary of the outbreak of World War II, the Institute of National Remembrance (IPN) has put together an exhibition entitled “Between the Walls. Poland under Totalitarian Regimes 1939–1945”. The exhibition, which is on in the Piłsudski Square in Warsaw until the end of September, was organised under the patronage of Polish President Andrzej Duda.


he exhibition, in the form of two installations displayed on large walls, is devoted to the history of two totalitarian systems t‌ he Third Reich and the USSR. The narrative revolves around the outbreak of World War II, its tragic consequences and the Polish nation’s struggle against the two occupiers. Inscriptions and photographs placed on the installation walls introduce visitors to the reality of the war in Poland. On the wall dedicated to the Nazi occupation, you will find plenty of examples of methods of terror applied against ordinary civilians. Much room is devoted to the Polish Resistance, which formed clandestine structures of the Polish state, staying in touch with the governmentin-exile which operated in London from

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September 27, 1939 until July 1, 1945. Information is also presented about resistance activities in Nazi concentration camps and the Warsaw Jewish Ghetto Uprising of 1943. Prominence is also given to the Warsaw Rising of 1944, as well as to the victorious Battle of Monte Cassino of 1944, which was fought against the Nazis in Italy by a Polish unit, the 2nd Polish Corps under General Władysław Anders. This battle, part of the Allies’ march on Rome, is considered one of the fiercest of World War II battles.

THE ALLIES YIELD TO STALIN’S DEMAND The wall devoted to the Soviet occupation depicts deportations of ethnic Poles to

Russia and Central Asian republics, the plight of Polish inmates of gulags, as well as the Yalta conference, which took place on February 4-11, 1945. During that conference the Allies effectively agreed to Stalin’s demand to include Poland in the Soviet zone of influence. The walls are dotted with quotes from those who lived through the horrors of the war, who were subjected to reprisals and witnessed war crimes. There are plentiful photographs showing how tough everyday life was under the Nazi and Soviet occupation. The visitor comes away with a better understanding of how life in occupied Poland was a constant struggle for survival in the face of overwhelming terror. Emotions generated by the vivid portrayal of what those living in occupied Poland went


through are very powerful. The organisers have succeeded in delivering the message that the horrors of World War II are forever part of the human experience and that the living owe it to the victims of the Nazi and Soviet terror to remember what happened. The purpose of the exhibition is also to draw the attention of foreign visitors to the Polish nation’s plight during World War II, to show it from the Polish perspective. Throughout the exhibition inscriptions are provided in English, Russian and German.

THE ANNIVERSARY OF THE INFAMOUS MOLOTOV-RIBBENTROP PACT The exhibition was opened on the eve of the European Day of Remembrance for the Victims of Stalinism and Nazism, which has been observed on August 23 since 2008 on the European Parliament’s initiative. The date was picked to mark the anniversary of the infamous Molotov-Ribbentrop Pact, which was formally a treaty of non-aggression between the Third Reich and the USSR, but which actually demarcated Nazi and Soviet spheres of influence in Central and Eastern Europe. The day serves to commemorate the victims of all totalitarian and authoritarian regimes in a dignified and impartial manner. The opening ceremony began with a minute of silence in memory of the victims of the

Third Reich and the USSR. It was attended by representatives of state authorities, the Polish armed forces and war veterans. Among foreign guests were Lithuanian ambassador Eduardas Borisovas, Latvian ambassador Edgars Bondars and German ambassador Rolf Nikel. Those present at the ceremony also included the rector of the War Studies University in Warsaw, Brigadier General Ryszard Parafianowicz, and judge Bogusław Nizieński, holder of the Order of the White Eagle. "Regrettably there are now many people who are trying to falsify history. They suggest that World War II began in 1941. This is not true. The war began with the Nazi-Soviet invasion of Poland in September 1939, based on the Molotov-Ribbentrop Pact," Polish President Andrzej Duda said during his tour of the exhibition. A message from Prime Minister Mateusz Morawiecki was read by MP Jarosław Krajewski. "The exhibition is an important expression of concern for historical truth and the need to spread information about the fate Poland suffered during the war. By placing the exhibition in one of the most frequently visited places in the capital, Piłsudski Square, we have allowed visitors from around the world to learn more about the important pages of our history," wrote Prime Minister Morawiecki. "The war unleashed by these two totalitarian regimes took the lives of over 6 million Polish citizens. Today, in a strong

and independent Poland, we remember their names, we honour the memory of those who left behind a real treasure ‌a n independent homeland. I believe that thanks to this exhibition, Poland’s struggle against Nazism and communism will forever remain in the nation’s memory," stressed the prime minister.

THE AGREEMENT SIGNED OVER OTHER NATIONS' HEADS IPN President Jarosław Szarek said that the Molotov-Ribbentrop Pact, which was in fact concluded between Hitler and Stalin, marked the fourth partition for Poland. The former three partitions had occured in the late 18th century when Russia, Prussia and Austria carved up Polish lands among themselves. The country’s independence was only restored in the wake of World War I. "The secret protocol of the MolotovRibbentrop Pact stated that the interests of both parties would decide in the future whether the existence of an independent Poland was desirable. History has shown that it was not. The agreement, which was signed over other nations' heads, was to serve evil purposes for many years. Regrettably, the leaders of the free world followed this path. For the nations of this part of Europe, the end of World War II did not bring freedom," he said. • 9/2019 polish market



PRODUCTS OF THE FUTURE WOJCIECH KAMIENIECKI, D.Eng, Ph.D., director of the National Centre for Research and Development, talks to Krystyna Woźniak - Trzosek and Jerzy Mosoń.

The competition for the best Polish innovations, the Polish Product of the Future, is getting underway. What are your expectations for this edition? It is already the 22nd edition, and as they say, the more you have, the more you want. In all the previous editions, a lot of valuable undertakings came up, from very different fields of science and economy. It is enough to mention last year's winners. Among them was a project regarding an innovative composite to supplement bone tissue, and a multifunctional system for magnetic field therapy and physiotherapy, all these projects represented advancement in medicine. There were also technical and IT projects, such as a smart waste segregation bin and a supersafe airport lighting system, powered only by solar energy, 365 days a year. I think that this year the simple formula of the competition will meet with a broad response, and many striking, but viable projects on the right scale will be submitted, which will propel our industry on the road of innovation. Working with innovators on a daily basis, we can PM

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see considerable potential in companies which operate both in modern sectors of the economy such as ICT, as well as in other specialisations in which Poland has a chance to become a leader, such as e-mobility and broadly understood biotechnology. What types of inventions could give the Polish economy momentum? May I suggest that, instead of using the term ‘inventions,’ which is incidentally a necessary term, we should talk about innovative products and services which make a genuine impact on the market, one of its segments, and social progress, which means innovation. On the one hand, we have breakthrough innovations and these are always harder to come by, although we have had a few of these. On the other hand, there are solutions based on the standardisation of innovation in the field of technology which face hurdles in the development stage. Yet they are of great value. This is how we operate, for instance in the Emission-Free Public Transport programme. Its purpose is, among PM

others, to standardise energy storage features. I would like to emphasise that it involves two non-exclusive alternative energy carriers gas (hydrogen) and electricity. To store them, we need to set a certain standard: dimensions, interface, everything that connects the energy storage facility with the power unit. In this case, it is not only about designing and manufacturing buses, but also about creating a market for suppliers of energy storage facilities for these vehicles. For now, each bus manufacturer has its own batteries. However, when we standardise them, a market will be created for them, so competition can set in, consequently leading to more progress and lower prices. The same approach is evident in the e-VAN programme competition for the development of an electric or zero-emission van with a load capacity of up to 3.5 tonnes. Is there a chance for a similar competition in the future, but with regard to hydrogen fuel? As in the emission-free public transport programme, we do not suggest whether PM


it should be electricity or hydrogen. According to most forecasts, as an energy source, hydrogen appears more promising than electricity. However, the hydrogen charging infrastructure in Poland is very poorly developed. To be able to effectively use zero-emission vehicles, we must have a network of stations that will provide this type of energy. That is why we are happy with the initiative of LOTOS, which has undertaken the construction of a hydrogen fuel station network, not only on the Baltic coast, but also in Warsaw and Katowice. It is a pilot programme which will be gradually implemented. The company is also planning to build mobile stations which can be manufactured in one place and installed throughout country, and then supplied with hydrogen by a network of tankers. As soon as a network of these stations is developed, it will be possible to increase the use of hydrogen vehicles. It's such a classic dilemma - the chicken or the egg? The number of vehicles will not increase unless there is enough infrastructure to power them. And vice versa, is it worth building charging stations, since there are basically no vehicles running on this fuel on the roads? The solution to this problem is synchronisation. Perhaps we will enter into cooperation with companies from the energy sector which implement projects in this area and, based on innovative solutions, we will support the construction of modern charging stations. An invention cannot be implemented if there is no funding for it. In the Polish Product of the Future competition, the winners can receive a prize of PLN 100,000, which is a substantial sum of money, but of course it is not intended to guarantee commercialisation of the product. There problem in Poland is that, even if something useful arises, the lack of adequate resources is an obstacle for the successful implementation, manufacture and sales. And either a foreign company takes over the invention, or the project dies a natural death. To prevent this, at the National Centre for Research and Development we have several sources of financing for innovative projects at various stages of implementation. In the seed stage, when innovators need incentives and support the most, we offer financing through funds in our BRIdge Alfa programme. Small funds, known as investment vehicles, which are centred around this programme, are aware that at this stage of the project PM

implementation there is a high investment risk, but because they are co-financed by us, they are able to accept this risk and provide support for worthwhile initiatives. Whereas the most popular way of financing more mature R&D projects are grants, e.g. as part of our flagship Fast Track programme. You can apply for funding almost all through the year, and they are - under certain conditions - awarded as part of a simple and quick competition procedure. This form of assistance is essentially a subsidy. However, if we want to achieve economies of scale, we offer further financing through our venture capital and corporate venture capital funds, including in cooperation with the Polish Development Fund (PFR.) We provide financing to projects which have already made a mark on the market, have a developed product, but need another round of financing. Therefore, it is a complete financing line: from grants at the stage of a proposed idea, through financing of research and development work, to subsequent rounds of financing, i.e. the stage of market analyses, whose aim is for the market to verify the potential of a particular idea. Do inventors, or should we say programmers and firms which operate in the fintech industry send in their applications? Is there a market like this in Poland? From the centre’s perspective, but not only, I can observe a fintech market being developed. It is the most visible in the banking sector, which is understandable. Banking is in the forefront of digital services, and fintechs work most strongly in the field of financial innovation. We do not have specific programmes devoted to fintechs as of now, but we have specific successful implementations related to fintechs, which are financed under such programmes as Fast Track and Go Global. PM

What are the most important tasks facing the centre right now? The most important thing is the need to constantly improve the Centre's operational efficiency to improve relations with partners. We respect our applicants, i.e. entrepreneurs and research units. It is also important from the point of view of the current EU budget which is coming to a close. We will be able to use EU funds from the current financial perspective until the end of 2023, so if we do not effectively support our beneficiaries, we may not be able to use all the funds at our disposal. We can't let that happen. PM

ACCORDING TO MOST FORECASTS, AS AN ENERGY SOURCE, HYDROGEN APPEARS MORE PROMISING THAN ELECTRICITY. When it comes to more strategic goals, we have initiated and are stepping up our activities outside Poland. We have opened an office in Brussels to get better prepared to support Polish entrepreneurs who enter for competitions as part of Horizon Europe (Horizon Europe 2021-2027 is a new European Union programme financing research and innovation – Ed.). The idea is to streamline the procedure of awarding funds to entrepreneurs. We already know that there is going to be more funding for investments related to innovation, but it will be more centrally distributed, and mostly dedicated to international consortia. In practice, this means that Polish companies and research units must be able to participate in such consortia, to be leaders in such consortia, so that they can successfully apply for funding. This will not be the only path, but it will be more significant than before. And what are the expected results? At the moment, we are a net payer into the Horizon2020 programme. So we only recover 30 eurocents from each euro we contribute. The goal of the above-mentioned drive is therefore to change this trend, to get more than our contribution is worth. PM

EU funds are bound to be limited in the wake of Brexit. Then what? They will definitely be limited. But there will be more funding for innovation than before. If Brexit becomes a fact, we will launch and develop direct cooperation with the UK, just as we have with Norway, Taiwan and Iceland. • PM

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WE ARE ON THE RIGHT COURSE Remarks for "Polish Market" by JADWIGA EMILEWICZ, Minister of Entrepreneurship and Technology.


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he Polish economy is now in excellent shape. In the first half of 2019 alone, we grew at an average rate of 4.6%, one of the fastest in the European Union. However, our economic growth was stimulated mainly by investment and private consumption. I am aware that what can guarantee us further stable development is first of all evolutionary transition towards an economy based on knowledge and modern technologies, and an even stronger support for Polish people’s innovation and creativity. Today’s world also requires us to be open to new technologies and an outside-the-box way of thinking and acting. This is why we have been intensively strengthening all sorts of activity conducive to cooperation between science and business for several years now. Businesses themselves have noticed and appreciated the profits resulting from the synergy created by this increasingly fruitful cooperation. They spend more and more of their own money on research and development and do so increasingly often. In the years 20082017 alone, we have noted in Poland and almost three-fold increase in spending on expanding this form of cooperation. It is not yet the level we would dream of, but we are definitely on the right course. Inventions in the area of cybersecurity, but also space technologies, fintech, artificial intelligence, plastics microtechnology, bioeconomy and pharmaceutical biotechnologies, for instance, seem today to be the most desirable. This is where I see future innovators.

But money is not everything. It is coupled with increasingly attractive job offers. The Polish R&D sector is already becoming a desirable employer. Over the past 10 years, between 2008 and 2017, employment in the sector doubled to reach more than 144,000 full-time jobs. And what makes me even happier is that these jobs are very well paid. However, it is impossible to talk today about the development of modern technologies without legislative support, especially for the R&D sector. In the past three years alone, we have managed to create, by means of innovation bills, very favourable taxation conditions for businesses investing in research and development work: from the R&D and IP Box tax breaks to the law introducing a new form of joint stock company to the Polish legal framework to the Future Industry Platform designed to make it easier for our businesses to implement Industry 4.0 solutions. The facilitating measures I have mentioned are conducive to the development of start-ups, which usually stand out by combining their unconventional ideas and solutions with modern technologies. Most of them are geared towards exporting and expanding on global markets. And what is even more inspiring for us is that they are indeed noticed there more and more often. The future of the Polish economy will depend on them to a large extent. Creating the best possible conditions for their further development has been and will continue to be our state’s role. •

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FOR POLISH BUSINESS TO EXPAND GRAŻYNA CIURZYŃSKA, Acting President of the Polish Investment and Trade Agency (PAIH) in an interview with Jerzy Mosoń.

PAIH has a very extensive network of offices in foreign countries. What challenges are faced by those that have recently joined the list? Creating a global network of trade offices has been the biggest challenge. We have managed to achieve this goal in less than three years. Each market has its own specific features, legal system and business culture. All these factors affect the nature of international co-operation, including relations with entities such as PAIH offices. Our employees are well aware of local realities. This enables them to navigate PM

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there and to provide support to Polish entrepreneurs. What role does PAIH play in economic diplomacy in the face of tensions brought about by global trade wars? The directions of Poland’s economic diplomacy are determined by the ministries of foreign affairs and entrepreneurship. Since the mandate of the Polish Investment and Trade Agency allows us to support business as such, our activities are complementary to those of Polish diplomatic missions. It is worth emphasising that the tension in trade PM

relations between the US and China provides significant opportunities for companies from other countries, including Poland. We help Polish entrepreneurs by giving them direct access to knowledge, also when it comes to challenges posed by the current situation on foreign markets. PAIH also serves as a link between Polish companies and local contractors and chambers of commerce. PM

Poland still exports too little compared to its potential. But without higher exports, it is going to be difficult to achieve further wage increases in Poland. In what ways


can PAIH help Polish entrepreneurs expand into the most difficult markets? The Polish Investment and Trade Agency helps Polish companies make the best choice of an expansion path, and reduce the risk of business operations abroad. Entering each market is a major challenge, which is why we open a protective umbrella of public support over Polish companies. We try to be their guide abroad. We accompany them as they take the first steps on the local market, help them to register business activities, obtain product certification, and we put them in touch with business support institutions. At the entrepreneur's request, we are able to verify the credibility of a potential contractor and organise a trade mission. At the same time, we promote Polish industries which enjoy the best export opportunities in areas such as cosmetics, clothing, IT / ICT, construction, furniture, machinery, automotive and aviation parts, yachts and recreational boats, medical equipment, biotechnology and pharmacy. We show Polish entrepreneurs not only the right geographical directions, but we also look for niches they might fill, taking into account their competitive advantages. China, Russia and the US are huge markets which are hard-to-reach places for most Polish companies, although each of them for completely different reasons. Is there a chance for a wider opening at least in one of them? What role can PAIH play in this process? In the case of China, the US and Russia, we face very strong international competition. Regarding the United States, a major hurdle are differences in legal regulations between individual states, and the two-tier tax system: the state and federal level. The size of the US market can also be a challenge. The advice we give Polish entrepreneurs is that the key to success in the US is to be very well prepared and to look for a niche. Thanks to the strong Polish-American partnership, we have an excellent climate for the development of economic cooperation between the two countries. A very good sign for the future is the record value of trade with the US- USD 13.4 billion,- which we achieved last year. In recent years, we have also seen an 8% increase in the value of trade with China. In PM

our view, it is definitely possible for China to open its market wider to Polish goods and commodities. That is why we help Polish companies take advantage of the opportunities offered by such initiatives as the "Belt and Road" and "17 + 1." We support their presence at China’s only import trade fair, China International Import Expo, and important industry events and trade fairs for Central and Eastern European products. With our participation, Polish brands are becoming more and more recognised in China. In terms of brand recognition in the B2C sector, cosmetics lead the way, especially bio-cosmetics, for which there is a growing demand in China. Most Polish brands are sold through e-commerce channels and are recognised in online stores. We help such companies find potential partners. We organise export training for the Polish entrepreneurs who need to understand the Chinese culture and the Chinese market better. One should also keep in mind that one of the reasons behind lower exports to China may be that China has just started opening its market for imported goods. When it comes to Russia, it focuses on encouraging foreign companies to conduct business activities there. It is a huge opportunity for Polish business. One Polish manufacturer of sanitary equipment, which has three factories in Russia and is expanding one of them, is leading the way. It should also be emphasised that there are 21 special economic zones in Russia. They all have a special legal status, which offers entrepreneurs tax breaks, as well as guaranteed access to ready-to-use engineering, logistics and business infrastructure. We forge partnerships between Polish firms and local contractors, and whenever necessary, we check their credibility. At the same time, we encourage Polish businesses to become more active on the Russian market, for example by participating in trade missions. Only in this way can we convince the Russian market of the high quality of Polish products. PM


Ukraine is a country which Poland has attached great hopes to for years, especially in the area of food exports. In the case of Polish-Ukrainian relations, investment risk and the security of contractors play a key role. How do you 9/2019 polish market




assess the possibilities of closer economic relations between Poland and Ukraine? Ukraine is a major importers of Polish food. In recent years, interest in Polish fresh vegetables and dairy products, cereal products, and also meat has increased. Promising market segments include non-alcoholic beverages, coffee and the production of agricultural equipment. Agrifood products got the third place in Poland's trade with Ukraine, and the sales growth is impressive. In the first half of 2018, the Central Statistical Office of Poland recorded an over 20% increase in exports of agri-food products to Ukraine, the best result in the group of Poland’s European trade partners. Despite the conflict in the east of Ukraine, which excludes a large area from business operations, in 2018 the country recorded a moderate GDP growth. The new opening in Ukrainian politics is likely to lead to the lifting of barriers and improved security, which have so far made Polish companies cautious about doing business in Ukraine. The fact that the country’s newly elected parliament and government have got down to business, leaves one hopeful that they want to use the current window of opportunity to launch wide-ranging reforms. We will closely monitor the extent to which market and pro-democracy declarations are reflected in reality. PM

Some countries, including in the European Union, are increasingly trying to protect their markets. France seems to be a particularly difficult place for Polish firms to do business in. What is PAIH doing to overcome the barriers encountered by Polish entrepreneurs there? Is there a plan to deal with the

Business Forum

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effects of the amended directive on posted workers? Western European markets are highly competitive, which is why each company which approaches us, receives reliable information on the required certificates and entry barriers. In our opinion, both economic and cultural conditions determine success in this part of Europe. That is why we organise training sessions for Polish start-ups which are looking to expand in the French market, and cosmetics companies which are planning to enter Spain. We also organise meetings with local contractors. As regards the amended directive on posted workers, we provide information to all those who need it. A plan to deal with the effects of the directive is being developed by relevant government ministries. Britain is set to leave the European Union soon. A hard Brexit is a likely scenario, which means the need to support Polish companies that operate in the UK. To what extent can PAIH help our fellow countrymen deal with the new postBrexit reality? The effects of Brexit cannot be fully predicted. Companies which do business in non-EU countries may find it easier to adapt, because they have more experience in these matters. Now, entrepreneurs who have only operated within the EU, are going to face a new challenge. We show them how they can deal with it by pointing out key issues and use it as an opportunity to enter non-EU markets. We also encourage Poles who are based in the UK to come back and to work or to do business in their homeland, as their skills and experience could be found very useful. • PM

9.10.2019 Warsaw, PGE Narodowy trade






ORGANISM “Polish Market” talks to dr PIOTR SOSIŃSKI, who has been the President of the Wałbrzych Special Economic Zone INVEST-PARK since July.

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You have taken the position of the head of the largest Polish economic zone, which brings together over 250 entrepreneurs. What is its role as an investment support instrument? The Włabrzych Special Economic Zone INVEST-PARK is part and parcel of both economic and public life in southwestern Poland. The zone has made a mark in the recent history of the city of Wałbrzych, where the zone’s heart is located, but also of the Dolnośląskie, Opolskie and Wielkopolskie regions. For me it is not only a commercial law company focused on results - it is also a living economic organism, which provides work for many inhabitants of the region, including my friends and neighbours. It is a huge responsibility. The zone requires a lot of attention and plenty of work. PM

That’s right. Interferie is a KGHM subsidiary. The Interferie group has nearly 2,000 hotel beds in the most attractive Polish resorts located on the Baltic Sea coast and in the Sudety mountain range. As the manager of a company operating in the hotel industry for over three years, I came across the same problems as most Polish entrepreneurs do the need to watch costs, manage risk, and effectively recruit and motivate staff. The hospitality industry has been doing well for a long time, and thanks to government programmes such as 500+, the number of hotel guests at the seaside and in the mountains, has increased significantly. Along with the owner, I was able to enjoy the financial successes of this listed company. Special economic zones have been operating on a new basis for a year now, all of Poland has become a special economic zone. What’s your view of this model? Since the introduction of the new regulations, the Wałbrzych Special Economic Zone has issued 25 decisions on investment support. Entrepreneurs in question have declared that they will invest over PLN 1.85 billion. The extension of preferential investment terms to all Polish regions has brought tangible results. As many as 16 out of 25 decisions issued by the WSEZ concern properties located outside the former area of the Wałbrzych zone, in what are known as sub-zones. Under the Act, entrepreneurs find it easier to operate outside the zone to take advantage of tax reliefs, as barriers related to the location of investment projects have been removed. This solution is particularly important for the SME sector. The necessity to move production and construction of a new plant into the economic zone, often went beyond the financial capabilities of small and mediumsized companies. 10 decisions have been issued for projects implemented by entrepreneurs from this sector. What's more, in the long run, the introduction of qualitative criteria for granting support can be expected to steer the Polish economy towards modern technological solutions and highly-paid jobs. We can already observe an investment trend related to the development of business services, R&D and the e-mobility sector. In addition, quantitative criteria based on the unemployment rate in a given district are geared toward a more balanced development of the region through investments in previously undeveloped areas. • PM

In what way does your local government experience translate into zone management? I have been a legal advisor dealing with business entities for 15 years. Often, together with the owners and managers of companies, I spent long hours solving problems that arose due to the dishonesty of a contractor or unclear regulations. I was also in touch with them as the deputy mayor of Wałbrzych and a councillor of the Dolnośląskie region. In the parliamentary committee on the economy and regional development policy, we repeatedly discussed the problems of large and small firms. I know from experience that in a modern state, legal regulations can pose obstacles for entrepreneurs, but at the same time they are a tool of effective support and the only permanent way to regulate the market. The responsibilities of companies which manage special economic zones include, among others, support in the process of obtaining authorisation, assistance in the implementation of investment projects, liaising with public administration, as well as looking for suitable subcontractors and suppliers. Thus, we are not just a body which grants corporate tax breaks. We try to meet the expectations of entrepreneurs and be their protective shield. I think it is especially important for the small and mediumsized enterprise sector, where each new investment project carries an enormous amount of risk. PM


You are not a stranger to companies owned by the Treasury, either. Before you took up the position in Włabrzych Special Economic Zone INVEST-PARK, you used to manage Interferie.

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ŁUKASZ GRASS, a member of the Programme Board of the Business Insider Trends Festival conference, which is scheduled at the Praga Koneser Centre in Warsaw on October 2-3, talks to “Polish Market’s” Błażej Grabowski. Most speakers at this year's Business Insider Trends Festival conference specialise in social issues and technology. Photographer and social worker Hannes Schmid fights poverty in the developing countries. Ingo Rübe speaks out on the need to democratise the internet. Igor Bogicevic is a co-founder of the Seven Bridges company, which provides IT solutions for biomedical research and other areas. What has prompted you to pick such topics? Certain phenomena are interrelated. We do feel that technological progress should not come at the expense of social change. We are aware of the need to talk about the fourth industrial revolution. Technological progress is affecting societies, it brings about change on the labour market. The fourth industrial revolution, along with very dynamic development and artificial intelligence, brings huge changes not only in the approach to work, but in society in general. That’s an area related to life science. During this year's conference, we intend to put a lot of emphasis on change the fourth industrial revolution involves, and indicate problems which will need to be solved to avoid potential crises. Life science is a broad issue ‌even the topic of nutrition will be tackled during the conference. Speaker Vanessa Oertzen-Hagemann, dietitian of the Borussia Dortmund football club, will offer advice on what valuable tips business people can learn from sports nutrition.

machines or robots equipped with artificial intelligence. On this topic, the conference will be addressed among others by Uros Sikimic, leader at 3Lateral, which develops technologies that enable the creation of realistic and interactive digital characters. Due to technological change, some employees will need to be retrained as soon as possible. Young people seem more flexible, they should be able to manage.

When it comes to changes on the labour market, it is said that crisis situations may arise from the fact that, on the one hand, there will be labour shortages, and on the other, some workers will prove redundant because they will be replaced by vending

It was probably most of them. That’s right, but he pointed out that changes will be gradual and non-linear. Some bankers can expect to lose their jobs, but others will keep their jobs, only with fewer responsibilities. For example, document analysis which does



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What about those who fail? That’s the point. That is why during the conference, Henry Blodget will talk about the need for a fair redistribution of wealth, something which the founder and editor of the Business Insider describes as "better capitalism." In addition, the need to introduce the notion of basic income is increasingly being raised. PM

For now, the first experiments seem to bring conflicting results. We are at the starting point. No-one has a clue what the end-result will be. I interviewed futurologist Gerd Leonhard last year. On the table in front of me I laid out cards bearing the names of various professions: a banker, journalist, insurance agent, real estate agent, miner, etc. Then I asked him to put the names of those jobs which are likely to become obsolete to one side. PM


not require complex operations, is likely to be passed on to smart robots. This year a new range of topics is to be introduced at the conference, namely Media & Marketing. What’s the reason for it? If you want to be successful in business, you need a presence in the digital world. You can’t build your business without it. One of the speakers, Gerard Crichlow, has global experience in the field of public relations, digital media, social media, cultural brand and strategy. Interestingly, Crichlow believes that the more positive impact on the world a company has, the stronger its brand is. PM

But does this mean that everyone needs to be a specialist in building their own image? No, but everyone should consult specialists who know how to do it. Please also note in what direction business is going, even based on our profession, that is journalists, artists, those whose works transmit values. • PM

About the BUSINESS INSIDER TRENDS FESTIVAL conference The Business Insider Trends Festival is an event at which trends on the global market are discussed. During the meeting, world-class experts talk about ways in which the modern world of finance, media, new technologies, medicine and health is likely to change, and what kind of a world we can expect to live in in the future. It is also one of the most important events focusing on business trends in the Central and Eastern European region. The conference is organised for those involved in the world of business, marketing, science and media who will have the opportunity to meet in one place to exchange experiences. More:

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ŁUKASZ OPRAWSKI, President of Congress 590, talks to Jerzy Mosoń. One of the first topics of this year's Congress is "Climate, Energy, Reason of State," which also includes electromobility and low-carbon transport. Why is it an important topic? What are the "New Challenges" about? The challenges facing the energy sector are directly related to the reason of state. First and foremost, a dynamically developing Poland needs more energy. It is necessary to obtain it from various sources using the latest, clean technologies. The "New Challenges" group of topics refers to global trends which we are witnessing on many levels of politics and economy. PM

For the first time, workshops will be organised next to debates. What is their purpose? At the heart of the idea of Congress 590 is the Polish entrepreneur. It is Polish companies, including small family-run businesses, that contribute the most to Poland’s economic success. Since the collapse of communism, the state apparatus favoured entities with foreign capital, while adding more burdens onto the shoulders of Polish entrepreneurs. This approach that capital has no nationality, was proposed by former Prime Minister Leszek Balcerowicz. I believe it turned out to be incorrect. The present united right government, as part of the "Constitution for Business" presented by Prime Minister Mateusz Morawiecki during the first edition of Congress 590, began the process of redefining the principles of conducting business activities and, most importantly, removing barriers which block the development of Polish companies. This year’s workshops are meant to help entrepreneurs benefit PM

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from opportunities which arise from new, streamlined regulations. Among this year’s guest speakers is US general George F. Close, currently president of the Spectrum Group, which builds innovative business strategies. Is the presence of speakers like Close related to the needs of business, or is it a sign of the strengthening of Polish-US relations? There is no contradiction between the needs of business and the strengthening of relations between Poland and the US in the economic area. Poland is currently enjoying the best relations with the US in history. We want this good time to be effectively used diplomatically to produce lasting economic ties, and closer cooperation in the fields of defence and business. PM

President Andrzej Duda is the official patron of this year's Congress. Does this mean that we can expect a strong voice from his office? The President has supported Congress 590 right from its first edition, which took place in 2016. Every year, we can count on his honorary patronage and the President’s Economic Award. The idea of Congress 590 dovetails with the President’s priorities, such as active support for small, medium and large Polish entrepreneurs. PM


Observers hope that the Congress will largely be devoted to Poland's public finances, which are at their best for years. The public deficit, sovereign debt, or perhaps a debate on whether Poland is likely to adopt the euro‌what topics seem the most urgent in the face of the upcoming parliamentary elections?

As regards the introduction of the euro in Poland, I cannot see any room for discussion on that at the moment. According to many experts, adopting the single currency would be an unfavourable solution for us, and could slow down the current impressive economic growth. We will definitely talk about the state of public finances in the context of the opportunities that Polish entrepreneurs face thanks to the good condition of the national budget and the economy. The date for this year's event has been changed so as not to clash with the Visegrad Group summit, which includes Poland, the Czech Republic, Slovakia and Hungary. How are relations between partners in the region shaping up? What about the Three Seas project, encompassing countries which lie between the Baltic, the Black Sea and the Adriatic? A panel discussion will be held during Congress 590, during which we will talk with our partners about cooperation as part of the Three Seas project. There are many challenges ahead of us, especially in the field of energy and transport. Possible joint projects stand to benefit all countries in the region, especially Poland. PM

What are the organisers' expectations of this year's Congress? Our ambition is for Congress 590 to set new trends, and attract more and more participants. But our main goal is to come up with recommendations for the national administration which will be helpful in building a friendly administrative and legislative environment for Polish entrepreneurs. • PM



President of Marma Polskie Folie, the first honorary citizen of Rzeszów, talks to "Polish Market."

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ECONOMY Which decision was the most important for Marma Polskie Folie: the transfer of the production plant to the facility in Kańczuga in 1996, or the decision to consolidate the market, which took place in 2004? Both decisions were crucial in the company's success story. The transfer of the plant to the facility in Kańczuga allowed us to invest in modern process lines and to develop innovative products. The decision of 1996 marked a qualitative leap for us - from a relatively small firm of a local nature, we were transformed into a serious company, which, thanks to new manufacturing capabilities, gained the foundations for further development. The second decision to consolidate the market had a different dimension - it enabled our market expansion in many directions. The consolidation resulted from a complete change in thinking about the market, customer service and how to define the product range. The simultaneous development of activities in several plants required us to standardise procedures and activities. This has changed since the consolidation. We have also gained employees of a different profile, and the exchange of experiences between our existing staff and new employees has meant that we could start working on a much broader scale, with better know-how and ambitious plans. In a nutshell, if it hadn’t been for the move to Kańczuga in 1996, and the subsequent consolidation of the market in 2004, we would not be where we are today. PM

Marma's current product range is impressive, but there seems to be a niche in Poland for car wrappings, which are in big demand. Do you have plans to add these to your products? No, we do not have such plans, although to be honest, we produce paint protection film, but it is different from the product you are referring to. Despite the wide range of our products, we do not manufacture many other polyethylene products, such as disposable plastic bags. It results from the company's long-term strategy. We specialise in technologically advanced products which our customers from Poland and foreign countries expect the most. PM

Aren’t you afraid that the fashion for organic products will drive plastics out of the market? Plastics are just associated with cotton swabs and disposable carrier bags. This is wrong, because products made of plastics also include stents used in bypasses, syringes and dressing materials. If we gave these up, at the current level of scientific development, there would be nothing to replace them with. This would mean giving up many of our civilisation’s gains. However, the main strategy of our company is to act in harmony with the environment. PM

That is why we are consciously giving up some products such as plasters. The market constantly surprises us with technological innovations. Are you involved in R&D, or is your strategy based on products which have already proved their worth? We operate in such a dynamic industry that it is impossible not to look for new technological solutions. If you stand still, you start lagging behind, and eventually you’re pushed out of the market. We must constantly develop our products and even be market trail-blazers. That’s why, we work in partnership with universities and train our employees in Poland and abroad. We also cooperate with giants from our industry and related industries. Together, we are looking for new solutions. PM

The business world is familiar with the Marma brand, but what about the ordinary consumer or a foreign visitor? Indeed, since we operate in B2B, our brand recognition in business circles is good, but the ordinary consumer does not identify the packaging in which he buys the product, with our company. But our brand is definitely more identifiable in the construction industry, for which we manufacture technologically advanced materials - including breathable membranes from the DACHOWA family and Energy Screens. Since we attach great importance to a healthy lifestyle and ecology, and we pay attention to the energy balance, mention must be made of the DACHOWA membrane, which is placed on the roof and acts like a hat on your head. We also pride ourselves on adapting our products to specific climate requirements, it is important to take atmospheric phenomena, humidity and sunlight into account. As a result, our products are long-lasting, and sometimes they last longer than specified in the warranty. Similarly, farmers and gardeners have long been familiar with the UV resistant tunnel and silage film, and water-saving soil mulching film which enable lower herbicide use. Everyone uses these products in gardening - from professional producers and farmers to garden owners, and our brand is synonymous with quality. PM

Does your company take up challenges in the CSR area? Are you yourself involved in socially-oriented activities? I can't imagine that a company operating in any industry should not get involved in CSR. We operate in so many fields related to corporate social responsibility that it is difficult to identify the most important ones. A contemporary art gallery operates at the Millenium Hall Cultural and Shopping Centre in Wrocław. Children, teenagers and judo masters train there, book PM

fairs and events for runners take place. The Millenium Hall is also home to the Siemacha Association, led by Father Andrzej Augustyński, which is a contemporary playground, complete with culinary, IT and music workshops. Marma Group's CSR activities are not limited to Poland. We have recently financed the construction of the Polish House in Nepal, and provided support to children in Ukraine who came from waraffected zones. Wherever a tragedy strikes, we try to help as far as possible. You care a lot for ecology and CSR, yet your main hobby is speedway. Isn’t it a contradiction? Speedway is the favourite sport of millions of Poles, but a few years ago you withdrew from sponsoring it. Do you have any regrets? There is really no contradiction between speedway and ecology. To reduce noise, mufflers are mandatory, speedway riders compete on the track and not in the woods ... so it’s not that ecounfriendly, after all. Despite the fact that we have withdrawn from sponsoring speedway, I attend various speedway events. I think it's a great place to spend time with your family. I’ve recently been to the Grand Prix in Wrocław. Generally, I try not to refuse when I receive invitations to speedway events, it's still my great hobby. PM

Is there a chance that you will ever come back to sponsoring speedway? They say that no-one steps twice in the same river. But then again, never say never. PM

Do you still have any dreams in business? Of course. Dreams in business allow you to act much more actively. It’s no good if you don’t have any dreams. But in business, dreams should have a deadline - then they become goals. We are working on many new products, including new patents, but it is too early to reveal the details. All I can say is that we are at a stage of implementing a patent for a five-layer, dual-purpose screen with a double film, which is set to revolutionise the thinking about building insulation. One of the big global corporations has stolen our idea and introduces such a product to the Polish and Russian market, without the necessary documents. Now we have a long and arduous way to assert our rights in this respect. We also have another goal: we want to provide an even better work environment, attract the best cadres in our industry, because people mean development. And employees with higher qualifications mean that you develop faster. When it comes to other dreams, I remain hopeful that legal regulations, including tax regulations, will be introduced to support companies involved in recycling, to give plastics a second and third life. Our research and development activities offer such technological opportunities, but to make it happen, we need • a proper environment to operate in. PM

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D E S T I N AT I O N S LOT Polish Airlines is investing in direct flights to Asia. After a 25 years’ break, this September the national carrier resumed flights to the Indian capital of New Delhi. There are more frequent flights to Tokyo and, from October, to the Chinese capital Beijing. You can also go on a foreign trip from Poland by rail. However, the number of long-distance connections from Poland is still small as compared to the number of destinations you can fly to from British, French and German airports. Is this likely to change anytime soon?

I believe that we will fly more than once a day to New Delhi, and at least once a day to other important cities in India,” said Rafał Milczarski, President of LOT Polish Airlines. He was speaking in New Delhi at a gala inaugurating direct flights between the Polish and Indian capitals. The resumption of flights from Warsaw to India is only part of changes in the Polish carrier’s approach to long-haul air travel. This new approach can be seen especially in relation to Asian markets. In July, LOT increased the number of flights between Warsaw and Tokyo from three to four a week. As of the end of October, in addition to the existing three flights a week from Warsaw to Beijing, there will be four more to another airport, Beijing Daxing. Those who like to combine rail and air travel also have every reason to be happy. Direct LOT flights from Budapest to Seoul are set to be inaugurated on September 22. The Hungarian capital can be reached by InterCity train ‌the journey from Warsaw to Budapest takes less than 13 hours. This makes it an attractive alternative to car travel. PKP Intercity also operates direct links to Berlin,

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Prague, Ostrava, Vienna and Bratislava, as well as to countries to the East of Poland: Belarus, Russia and Ukraine In turn, LOT Polish Airlines currently serves over 110 destinations, including 15 long-haul flights. The destinations include Tokyo, Seoul, Singapore, Beijing, and as of November, Colombo in Sri Lanka. There is also talk of direct flights to Vietnam in the near future, which will surely be welcome by Poland’s Vietnamese ethnic community, as well as Polish and Vietnamese business circles. One hurdle facing the development of direct flights is the insufficient infrastructure of Poland’s main airport, the Frederic Chopin airport in Warsaw. But if all goes according to plan, in about ten years from now, the Warsaw airport will be closed down, and its role will be taken over by the new central airport in Baranów, some 50 kilometres west of Warsaw. It will be part of a large-scale Central Transport Hub, which will include both the large airport and a network of high-speed rail links. This investment project promises to allow passengers from Central and Eastern Europe to become independent of some Western European hubs. •



PKP INTERCITY PKP Intercity is on a growth path. The increasing numbers of passengers come in tandem with a consistent implementation of the largest investment programme in the company's history. Source: PKP Intercity


recent contract signed between PKP Intercity and Stadler Poland has brought the total value of PKP Intercity investment in new rolling stock to over PLN 4 billion, as part of the Large Railway Investments programme. The programme worth PLN 7 billion is to last until 2023, and its goal is the acquisition and modernisation of rolling stock to further increase the comfort of PKP Intercity train travel. The contract with Stadler Poland, whose gross value is PLN 1.015 billion, is one of its pillars. Under the contract, 12 new electric multiple units type FLIRT are to be provided including maintenance services for a period of 15 years.


On board the new trains, which can travel at a maximum speed of 160 km/h, passengers will enjoy air conditioning. They will also be able to plug in their mobile devices and benefit from better mobile reception provided by repeaters and wireless internet. A selection of hot and cold food and beverages will be available. The catering area will feature room for small luggage to be placed under tables and clothes hangers. The new trains will be monitored, and will include facilities for bicycle transport. In addition, the trains will be adapted to the needs of disabled passengers, including lifts for travellers in wheelchairs. There will also be baby changing facilities.

The first two electric multiple units will be delivered within 18 months. Further units are to reach PKP Intercity within 48 months since the signing of the contract.


The key event of 2018 was the expansion of three PKP Intercity contracts with PESA Bydgoszcz for the modernisation of 163 cars. The carrier additionally ordered the modernisation of 82 cars. In total, as many as 245 comfortable cars will be added to the PKP Intercity rolling stock. The total value of the planned investment is nearly PLN 1.03 billion gross. In May 2018, PKP Intercity signed a contract for the modernisation of ten 140A/112A passenger cars with the PESA Group consortium comprising ZNTK Mińsk Mazowiecki and Pojazdy Szynowe PESA Bydgoszcz. The gross value of the contract is over PLN 41 million.


PKP Intercity cars are also being modernised by H. Cegielski ‌Fabryka Pojazdów Szynowych in Poznań. A contract signed in 2017 and expanded in October 2018, worth PLN 410 million, provides for the modernisation and maintenance of ninety 111A cars. Modernised second-class compartment cars will roll down the tracks throughout Poland. At the end of February 2018, the two companies signed a contract for the delivery of 55 new cars.

The total gross value of the contract is PLN 473.5 million. In May 2019, PKP Intercity also exercised its option to buy 26 additional cars, which increased the contract value to PLN 697 million gross. In addition, in February 2019, PKP Intercity signed a contract with the Poznań rolling stock manufacturer for converting 10 standard cars into restaurant cars. The contract value is PLN 61.4 million gross.


The company also invests in locomotives. At the end of May 2018, PKP Intercity signed a contract with NEWAG for the supply of 20 new Griffin electric locomotives, with an option for an additional 10 vehicles. The gross contract value is over PLN 367 million. If PKP Intercity exercises the option, the contract value will increase to over PLN 551 million gross. The locomotives’ top speed is 160 km/h, thus allowing efficient use of modernised railway lines.


Thanks to the investment programme, by 2023 80% of PKP Intercity rolling stock will be new or modernised. In addition, 94% of trains will be air-conditioned, and at least 77% will offer wireless internet. Each train will also feature facilities for passengers in wheelchairs and a separate space for bicycles. • 9/2019 polish market



SECURITY The banking system is undergoing major changes. Of late, internet payments have become more complicated, but they have also become more secure. The Payment Services Directive 2 (PSD2), which has enforced stronger security measures, has also introduced a single payments market covering the European Union, Norway, Liechtenstein and Iceland. It means that Europe has opened up to the idea of open-banking, i.e. the exchange of information between verified institutions (known as third party providers). Bank clients have gained the opportunity to check the status of all their accounts in different banks. And what about the financial sector? For the Polish banking system, this marks just another change, which follows hot on the heels of an amended act on the Bank Guarantee Fund, deposit guarantee system and compulsory restructuring procedures. Earlier, in November 2018, the Polish Parliament had adopted a piece of legislation to strengthen the supervision of the financial market. These legal changes place more burdens on the banking sector, which given the expected world economic slowdown, makes many wonder whether the right direction has been taken. All the more so that the Polish banking sector emerged unscathed from the recent international financial crisis. The present structure of the sector is slightly different than it was over a decade ago. The share of foreign capital has decreased significantly, partly as a result of what is known as the re-Polonisation of Bank PEKAO SA. It will be interesting to see whether the Polish financial sector continues to be able to deal with new challenges as well as before.




The President of the Polish Bank Association, KRZYSZTOF PIETRASZKIEWICZ, in conversation with “Polish Market’s” Danuta Bierzańska. Can a foreign national safely deposit savings in a Polish bank? All citizens' savings are covered by the guarantees of the Bank Guarantee Fund. Banks in Poland are adequately capitalised, and create reserves on an ongoing basis to offset potential risks. The Polish banking sector is also very strictly controlled by the Polish Financial Supervision Authority, and it has competent staff. But foreigners should be prepared that the procedure of setting up a bank account in Poland includes various elements which are meant to prevent money laundering and financing of undesirable activities. There is also a procedure to avoid double taxation. Nevertheless, I’d like to stress that the money deposited by clients in Polish banks is safe. PM

At the Economic Forum in Krynica you said that Polish banks are overburdened, and that their profits have fallen in recent years. How does this compare with the rest of the banking sector in Europe? The Polish banking sector is small in relation to the size of the country’s economy, both in relation to the size of the population, the GDP, and Poland’s development prospects. If we compare fairly objective statistics, i.e. the ratio between the GDP and the amount of own funds (which is the engine driving the banking sector,) savings accumulated in the bank, and loans, especially loans given to enterprises, it turns out that in terms of these statistics, Poland lags behind other PM

countries in the European Union. It has a lot to catch up with. This is the consequence of the repeated destruction of the country’s material and intellectual potential in the past several hundred years. Over the past 30 years, we have managed to significantly increase our own funds and the potential of the banking sector, from a sum of approximately PLN 3 billion 194 million to over PLN 207 billion at the end of December 2018. Please note that at the beginning of Poland’s economic transformation, the ratio of own funds to GDP in Poland was 1.6 %. It now stands at about 10 %. It can thus be observed that the banking sector has developed faster than the entire economy. This has has strengthened our system, but compared to other countries, it has only slightly improved our statistical position. Over the past 30 years, we have built a modern clearance and accounting system, as well as an efficient crediting system for households and corporate entities. The quality of the loan portfolio is good thanks to a good economic information system. In many areas, including new technologies, we do not just shine with reflected light. Polish banking offers some of the most advanced products, such card payments, including contactless transactions. But since 2012, the Polish banking sector, which was used to be one of the most profitable sectors and enjoyed great popularity among investors, has started to lose its profitability. Generated profits have remained stagnant, while the

growing own funds mean that the profitability of the sector has dropped from the level of approx. 20 percentage points to approx. 7 percentage points. In our opinion, the sector is in a phase of stagnation. It is true that savings and lending are growing, but the growth rate is lower than the growth rate of the Polish GDP. Paradoxically, faced by GDP growth, financial and banking institutions, which are the engine of the economy, are growing more slowly. Where does this slowdown come from? First of all, from the high tax and quasitax burdens imposed on the Polish banking sector. Polish banks have been the largest corporate tax payers for years, but in the past few years, an additional bank tax has been imposed, and this came as a surprise. After all, during the financial crisis of 2008 2 ‌ 015, the Polish banking sector did not require any form of support. On the contrary, it financed the economy. Lending increased by 48%. The banking sector did not need a single zloty of cash injection, it has paid taxes in earnest into the state budget. We have been obliged to pay the restructuring cost of non-banking financial institutions, the SKOK credit unions. We have been required to make very high payments to the Bank Guarantee Fund. As a result, the banking sector is burdened twice as much as in other European countries and in the US. If we do not want the Polish banking sector to significantly lose its ability to finance development, financial policies towards banks should be revised. • PM

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CHANGING ROLE OF THE STATE STANISŁAW KLUZA, Ph.D., founder of the IDEiA Quant Tank, talks to “Polish Market’s” Jerzy Mosoń.

There is a lot of talk about an impending economic crisis, though when it comes to Poland, it still seems like a distant prospect. Why is that? We can talk about a slowdown from two perspectives. On the one hand, we are part of the global economy and, apart from what we have in our own backyard, external stimuli can push the national economy either up or down. These are exogenous factors. The other group are endogenous factors, which are intrinsic to Poland. By pursuing economic, fiscal, monetary and regulatory policies, we can either provoke a crisis or act to prevent it. PM

remedial, regulatory and interventionist ideas have been introduced to protect the world against the crisis since 2012, that the economies now have a different, higher level of resilience.

The economic cycle shows that we should expect a slowdown. We are now going through one of the longest business cycles in modern economic history. It is almost 8.5 ‌9 years long, and since the collapse of Lehman Brothers in 2008, it’s been even more than 9 years, so it is definitely the longest business cycle in over a hundred years.

Does this mean that there will be no more crises? I think that there will be crises. Paradoxically, invisible and inconspicuous macroeconomic imbalances start with tiny droplets. They slowly grow step by step, and sooner or later, they will reveal themselves. I believe that present imbalances which may lead to a crisis are the consequences of the excessive accumulation of public finance debt in Western Europe. The trade war between the US and China is likely to hit large EU exporters, for example from Germany, as a result of which the entire European Union will be affected. However, it is difficult to say what exactly is likely to trigger this process. There is always some element of unpredictability and surprise.

Why has this cycle lasted so long? One possible explanation is that the previous slowdown was so deep that the low base effect has lengthened the current cycle. According to another hypothesis, the cycle is so long because so many preventive,

And is virtual money a serious threat to financial market stability? I think that virtual money is so specific that it will not cause a crisis by itself, although it may contribute to some processes on financial or macro- economic markets.


How many factors must combine to trigger a financial crisis? Two, three, maybe more? It is enough that the financial condition of large entities in the financial sector is weakened. PM


John Maynard Keynes once said that our economic system does not allow us to take full advantage of opportunities to achieve wealth offered by technological progress, which makes us feel that we could use the surplus in a more satisfactory way. We still seem unable to do that. But maybe we should be able to prevent crises from occurring? There are counter-cyclical tools that allow us to delay a crisis or reduce its impact. Economic policy tools have been developed that allow countries to overcome crises in a more orderly manner. In particular, the state should take care of the people and minimise the social effects of the crisis. PM

Some believe that the richest should bear the brunt of the crisis. Is it a good idea? To some extent yes, but not quite. The richest people are able to cushion themselves against the consequences of a crisis in the best possible way. They have assets that allow them to take a step back, and thus avoid being PM


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involved in the crisis. However, crises more frequently affect primary consumption, that is, the individual consumer. And this is the most dangerous? It is a threat. That is why the role of the state is important to prevent it from happening. In my opinion, to modernise the economy and social policy, the role of the state should change from that of an owner and administrator, to that of a regulator. Since many complex processes gather momentum, the state should increasingly step in as a regulator to set standards, or should introduce rules to make products friendly and transparent to a mass customer. In this way, a client who is not always in a position to hire a lawyer, will be better protected. In this way, the state should work on behalf of the individual market participant who is not familiar with market rules. That is why, in the consumer market, there should be more and more regulations.



Well, for the time being, the role of the state seems to be decreasing, not only in relation to international organisations, but also big corporations. I have a feeling that the role of the state is not weakening but changing. Of course, the emergence of large economic organisations, and the onset of globalisation, means that many of the historical roles of the state are now shifting toward international organisations, for example the EU. The state‘s role as the proprietor is diminishing. On the other hand, it has an important role to play as a regulator. The question is whether it should also act as an enforcer. If it sets the rules of the game, is it able to enforce them? And that seems to be the most important role of the state. PM

more, the mutual struggles among the three actually reduce the risk, because they are bound to reach a compromise. On the other hand, big corporations are out to maximise profit, and it is not in their interests to focus on efforts to minimise economic volatility. This means that they are profit-oriented, rather than geared toward minimising dispersed macroeconomic instabilities. Consequently, big corporations can play a dangerous role by default. And when a crisis does come along, they can place an even greater burden on the state’s shoulders. For when big corporations flourish, they tend to portray themselves as strictly private, all profit is privatised. But when they stumble, it turns out that they must be saved out of public funds. So profits are private, and losses become public. The cost is passed on to the taxpayer.

What role are big corporations likely to play in the upcoming crisis? I believe that in the long run, corporations breed crises rather than play a stabilising role. That’s because they are definitely profitoriented, even when the shareholders are dissipated. Even given corporate social responsibility, a sense of responsibility to work against climate change, etc., the fact remains that big corporations are essentially profit-oriented. Are these colliding interests between the state, big corporations and international organisations, likely to trigger a crisis? These divergent interests do not necessarily precipitate a crisis. What's

Banks operating in Poland appear reluctant to pay these premiums. Nobody is keen to pay their dues. One thing is clear, the recent crisis proved the utopia of self-regulation. Before the


So how are Polish banks and other financial institutions shaping up in this respect? I believe that a public-private partnership is in place, whereby the state sets the rules and acts as a regulator, while the banking sector is largely private. Some time ago, the Polish state carried out what came to be known as the Polonisation, domestication or nationalisation of banks. Each of these terms means something different. From the point of view of crisis prevention and crisis management, using the happy medium seems like the best option – a healthy ratio of private to state-controlled institutions, which in my opinion has become slightly skewed. Until recently, the share of foreign capital on the Polish market seemed too high. It was subject to foreign control. Now the Polish banking system has more Polish than foreign capital. The Polish capital is mostly owned by the Treasury, and not by private owners. A few years ago, over 50% of capital in Poland was foreign-owned and controlled. As a result, it was prone to external crises which originated in countries where the capital came from. Say, if a credit tightening policy were introduced in that particular country, a financial institution would first limit its lending operations and its development in other markets, irrespective of the economic prospects of these particular markets. So if something bad happened in Spain, France or Germany, the banks there would not pay attention to the fact that the Polish economy was doing well, but would make decisions based on market processes occurring in their home countries. For this reason, Poland experienced some negative side-effects of the previous crisis beginning in 2009, but they were relatively less biting than in other countries. PM

What should be the most important role of the state? One of the roles of the modern state is the collective protection of taxpayers' rights, which is a preventive one. And prevention in this case means a regulatory policy. The state may impose certain rules. To use the example of the financial sector, the state can increase the stability of the system, by setting required capital levels, risk assessment and liquidity measures. There are already many rules an institution present on the financial market must comply with in order to be able to operate. On the other hand, the state acts as an insurer against these risks. Financial institutions are required to pay premiums into the Bank Guarantee Fund.


crisis, the banking sector in particular, used to persuade the public that it was so responsible, stable and prudent that it would not allow crisis situations to arise thanks to self-regulation. This proved a fallacy. It is the state that must regulate and enforce. Imagine a bank CEO about to face a general shareholders meeting to tell the owners: “From now on, we will self-regulate, you will have less profit, but the interests of the state and taxpayers will be better protected.” Well, he won’t stay in his chair for long. The CEO is required to bring the best possible market results within the assumed risk parameters.




Let's return to the terms domestication, Polonisation and nationalisation. 9/2019 polish market



Domestication occurs when a bank is subject to a Polish regulator, regardless of whether the bank has domestic or foreign capital. Alior Bank has been an example of such domestication from the very beginning. Polonisation means that a financial institution is owned by a national entity – a fund, by shareholders, or other companies, which are generally domestic. Leszek Czarnecki's Getin bank is clearly a domestic bank. In the case of nationalisation, the state directly or indirectly has a controlling stake in the economic decisions of this entity. This model has several built-in problems. In times of prosperity, it allows the excessive use of crowding-out mechanisms, that is public investment pushing private investment out of the market. During a crisis, the state is unable to call on a shareholder to supplement capital, it must do so indirectly by itself, using taxpayers' money. The important thing is that the state should be able to call on the owner to increase his capital involvement, rather than having to increase the involvement itself by shifting the burden onto the taxpayer. Poland currently has two banks ‌PEKAO SA and PKO BP, which fit this description. There are a few more of them, we also have Alior, BGK and BOŚ. In countries with a developed financial sector, cooperative banking plays a fairly large role. I regret to say that both in terms of cooperative banking, and in the savings and credit unions system, the state has played an obstructive role, or at least it has failed to introduce favourable regulations, or build mechanisms to increase their stable development prospects. Instead, the state has tried to limit their development, which has produced two effects. Firstly, these segments have developed to a lesser extent. And secondly, i‌ f a crisis were to occur they would be more prone to it than the rest of the financial sector. This is because selected regulations which were introduced as part of the implementation of EU regulations on risk management, disproportionately PM

increased these entities’ operating costs. This reduced their efficiency, while at the same time restricting their development. Let us remember that these banks in their simplified models were also more secure in earlier times than could be the case in the near future. What is the condition of banks operating in Poland today? Can we feel safe? There is a saying that you can never feel safe, and that the more a person feels safe, the more vulnerable they are in the event of a crisis. I subscribe to the theory that we are experiencing a long cycle and that crises are not a thing of the past. However, exogenous and endogenous risks should be treated separately. I believe that Poland is more likely to be exposed to crisis factors originating in Europe and the rest of the world, rather than to internal problems. But regardless of where problems may come from, the question is whether we are ready to face them. PM

present moment, seems like the right thing to do. I wonder if this is enough. Considering that external problems are more likely to arise than domestic problems, another thing which works in Poland’s favour is its independent monetary policy, along with the Polish currency’s floating exchange rate. You can absorb external shocks using the flexible exchange rate. PM


But this can also prove dangerous ... If it turns out that Polish exports are too expensive, we are able to weaken the Polish currency to offset internal risk factors. So far, Poland’s competitive advantages have been two-fold. Firstly, Poland has offered cheap labour, which may not be so cheap anymore, but it is still cheaper than the EU average, at a time when labour shortages occur; and secondly, relatively low energy costs. But this phase is slowly coming to a close. Energy prices are set to rise. It will cost more to produce and supply electricity. The Polish energy sector is outdated, and it does not make enough use of renewable energy sources. As a result, energy production costs are set to increase considerably. In a nutshell, what used to give Poland a competitive edge in the past thirty years, is unlikely to secure its further development. But there are other areas where it is possible to gain competitive advantages, for example by developing organic farming.

We’re not likely to develop a surplus, though. I am not yet familiar with the details, but the idea of working towards a balanced budget, or even a budget surplus at the

This year's drought, which has caused food prices to rise, has shown that this may not be enough. That’s true. Poland is too small to influence the prices of agricultural products, but many previous years proved quite good for agriculture. We must now focus on changing the model of the agri-food sector. Instead of marketing raw produce, we should market processed food, which will ensure higher profit margins for the Polish producer and • supplier.

So, are we? The first thing to look out for is the independence of the financial sector from the state. In Poland, too much seems to be concentrated in the hands of the state. Another thing is whether Poland has adequate public finance buffers to manage a crisis. PM

Poland has recently purchased a lot of gold. Yes, you should notice such events. I was also pleased to hear that the 2020 budget is planned as a budget without a deficit. After all, in times of prosperity, you need to accumulate, and make provisions for leaner times. PM




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POLISH AUDITORS UNDER NEW SUPERVISION President of the National Council of Statutory Auditors BARBARA MISTERSKA-DRAGAN talks to “Polish Market’s” Jerzy Mosoń.

The Ministry of Finance has introduced new supervision mechanisms over statutory auditors. Has this been long overdue? First of all, I have to say that nobody expected it. A new Act on Statutory Auditors entered into force in 2017. It imposed quite restrictive obligations on local government, auditing companies and statutory auditors, including a five year rotation of auditors, and tightened rules of cooperation with public interest entities. In 2017, a model of direct supervision of the Audit Supervision Commission (ASC) over auditing companies and statutory auditors conducting statutory audits of financial statements of public interest entities, was introduced. Only some supervisory powers remained with local government, including control tasks other than statutory audits at public interest entities. We had not yet managed to settle well in the new circumstances, when the idea of establishing the Polish Audit Supervision Agency (PASA) appeared. In the new supervision model, the Agency will carry out all controls of attestation and related services, to determine whether they have been performed in accordance with national standards of professional conduct. It will also keep records of auditing companies. PM

Was indirect supervision enough? From our point of view, former local government supervision mechanisms did not pose a risk to the security of business transactions. It is difficult to say whether this new regulation is needed, because we PM

have not yet managed to assess operations under the current law. In 2017, we started applying new standards, including auditing standards, and now fresh changes come along. The justification given is that the new act is meant to improve the quality of the audit, increase the independence of auditing companies and harmonise the principles of auditing all auditing companies. There are a lot of small and micro auditing companies in local government, most often they are single self-employed lawyers, who until now were not under the direct supervision of the ASC. In our opinion, which we presented both in Parliament and at the Ministry of Finance, the catalogue of companies controlled by PASA should be expanded, but these small audit companies should remain under existing supervision. Local government bodies are directly in touch with the auditors, they can act preventively. But about 90% of Polish companies are SMEs, so shouldn’t these smaller firms be audited, too? From our point of view, they should be under the protection of local government to give them the opportunity to develop and improve the quality of services. Meanwhile, the supervision fee under the new law is to go up to 4% of revenue, up from 1.5% in the case of public interest entities. Especially when it comes to SMEs, this will be passed on to the customer, all the more so that the fee covers all services of auditing companies rendered in accordance with national professional standards. So not only the auditing of financial PM

statements, but also attestation and related services will be covered, too. Now the fee will also cover revenue obtained from other attestation services performed not just by statutory auditors, such as the assessment of restructuring and merger plans, and related services. This cost increase will undoubtedly push prices up. We must now get ready to implement the new regulations. The only thing we have managed to achieve in Parliament is the extension of the period of adjustment of auditing companies to the requirements of the amended act by four months. As local government, we want to help these companies and prepare best practice solutions for them. Do the new regulations effectively curb the role of local government? It is a great challenge for us, both in terms of subject matter and finances. Our tasks are aimed at standardising services, because the high quality of our services increases the financial security of companies. PM

You have recently become the president of the National Council of Statutory Auditors? What are your goals? As the president of the Council my motto is: quality, prestige and consolidation of the profession. I believe that entrepreneurs need us. After all, we assess management systems, we pay attention to risks, and with the help of an independent expert, we help companies to gain an outside perspective. This is what interests me the most in my profession, in which we are facing new challenges and experiences. • PM

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INVESTING SAFER THAN EVER RYSZARD KULCZYK, President of NDF Group, member of the Board and expert on real estate and finance at PolChambers, an independent association coordinating the global network of Polish chambers of commerce and business associations, Vice-President of the Israel-Poland Chamber of Commerce, talks to Jerzy Mosoń.

What is investment in real estate like now, more than a decade after the crisis? The biggest problem in Poland when it comes to the crisis of a decade ago was that people took loans denominated in a currency, often the Swiss franc or the euro, in which they did not earn their wages. If the value of the foreign currency doubled it was enough for the value of the apartment to drop by half. Of course, the problem concerns short-term investments and occurs when the property is sold, that is when the invested money is withdrawn at an unsuitable moment. Ten years have passed, the market has recovered and a large part of those who invested at that time are now back at the starting point. This is possible in the case of real estate. And this is why, despite everything, this kind of investment is safer. Generally, investment in something tangible, like gold or real estate, involves a relatively minimal risk of loss. Let’s look at the investment funds market: sometimes their value drops to zero. Meanwhile, an investment on the real estate market may sometimes lose around 20% of its value as a result of a crisis, but in the end it is certain to recover. Moreover, real estate is an investment where the capital is returned in full. In the case of bank deposits, which are considered to be the safest financial instruments, if the bank collapses you will only get up to EUR100,000 from the Bank Guarantee Fund, irrespective of how much money you have deposited on your accounts. PM

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You have mentioned the main sin of the borrower: taking loans denominated in a foreign currency. Is it always the case? We treat real estate as an investment so we should pay for it in the currency of the place where it is located. Commercial investments are often settled in the euro, because this currency is more stable. Besides, the euro is a natural currency for foreign investors. PM

Which countries are now the best location for investment in real estate? Is it Poland, Norway, or Switzerland? There are more and more investors coming to Poland, mainly because our real estate is relatively cheap. Yields are higher in Poland than elsewhere in Europe. The European market is highly saturated. My colleagues from PolChambers say there are less and less locations where one could invest. Against this background, Poland appears as an attractive market.

a room in a hotel, or an apartment in a condominium and renting it out. Is it good business? It is a fast-developing business. But there is one important thing. Many firms have switched to this type of real estate. However, in this case you have to pay attention not only to the location of the property, though it is one of the most important factors in real estate, but also the experience of the operator of the facility.


Will the development of social housing push home prices down in Poland? In theory, homes should become a little cheaper. But on the other hand, construction and land prices have gone up recently. As a result, a spectacular drop in home prices seems unlikely. PM


Investment in condo hotels and apartment hotels was very popular, also in Poland, around 10 years ago. This means buying

Is the hotel base in Poland already sufficiently developed after the UEFA Euro football tournament hosted by Poland? Poland’s hotel and tourism market is developing rapidly, but the hotel base is still insufficient. There is now no problem with selling land designated for a hotel, especially a large hotel able to accommodate more than 150 rooms. There are more and more conferences held in Poland, more and more people come to the country, tourism is developing in Poland. The UEFA Euro tournament was indeed a moment when people came to Poland and saw that you can walk the street safely here. And they enjoy spending their holidays here. Many foreigners are coming to Poland. Large hotel chains are constantly on the lookout for good locations for prestigious hotels. There would have been no expansion on the hotel market in Poland and investors would not have been looking for new locations if the existing hotel stock had not generated profits. There is still quite a lot to be done in this area. • PM



You are the president of a company which employs 2,000 people and cooperates with nearly 5,000 consultants. You've reached over 4,000,000 clients in the 20 years you have been present on the market. At the same time, as part of the Direction Business Woman platform within the Employers of Poland organisation, which you lead, you have conducted a survey among female students. You thus have extensive knowledge about Polish women on the labour market. So what are your conclusions, and in what ways should they be applied? Let's first talk about young Polish women who are entering the labour market. They are well-educated, competent and they get things done. Young women who are now starting their professional career have all the advantages to become business leaders and sit on the boards of big corporations. Importantly, young Polish women are aware of their skills. According to our study, female students believe that they are better at finding and analysing information, and are better organised than their male colleagues. Generation Z young women also positively assess their soft skills, such as teamwork and communication skills. The results of the survey also show that young Polish women dream of a job which will allow them to improve their competences. They expect their future job to offer them the opportunity to develop and acquire new skills in a friendly work environment. Fewer female students said they were keen to fasttrack their careers, and were not so much interested in the prestige of becoming an employer. When mapping career paths and finding job replacements in our companies, it is crucial to take these preferences into account. PM

Having such competences and expectations, female students seem to be great potential employees. But as you often point out, young women still need support in the labour market. Why is that? The road toward achieving equality between men and women in business is complex, and there is still a long way to go. It requires commitment and time. According to World Economic Forum calculations, given the current rate of change, world gender equality in the marketplace can only be reached in 202 years, but I believe that in Poland it is going to happen earlier. The present disparity is influenced not just by external barriers, such as the glass ceiling and stereotypes, but unfortunately also by the attitude of young women. Even though female students rate their skills higher than male students, they expect their salaries to be 23% lower than those of their male colleagues. They also rarely expect to be promoted, and are less keen to start their own business. This has a direct impact on their professional careers at an early stage. According to a survey conducted by the Direction Business Woman platform of the Employers of Poland organisation, young men take up paid internships twice as often as women. Female students more frequently pick unpaid internships and do volunteer work. As employers, we should look closely at who the interns are in our companies, and whether we don't take advantage of the fact that young women have lower expectations. PM

In what ways can you reach young women to inspire them to apply for higher positions? Women must be brave. They must not be afraid of becoming leaders. They do not lack PM


President of Provident Polska AGNIESZKA KŁOS talks to “Polish Market’s” Andrzej Kazimierski about ways to improve career opportunities for young women.

skills and education, but they must want to fight for themselves. Young women need positive examples. Role models are the most important. As stated in the DELAB report "Women in men's jobs," technical studies are twice as often taken up by young women who have at least one engineer in their family. The same holds true about women who choose a career in science. According to the study, female students attach much greater importance to meetings with professionals in a given field and to networking than male students do. That is why it is so important for business leaders to be involved in mentoring, which is becoming increasingly popular. How should mentoring programmes be run to have a genuine impact on the labour market? The problem is that a much more modest offering is available to young women in smaller towns. Most programmes are available in large cities. Female students who live and study in cities have the best development opportunities, they take part in training sessions and meetings with inspiring leaders. Young women from smaller towns are often left to their own devices, and have little chance to use their potential. That is why, as part of the Direction Business Woman platform, we place special emphasis on supporting female students from smaller towns. This project, which brings together women who hold top positions in Employers of Poland member companies, is meant to inspire young women to start consciously shaping their careers in business. We want to encourage women to acquire managerial skills and support them in education, professional development and shaping their career path. • PM

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PROMETHEUS IS HERE, WAITING FOR A HYBRID PROF. MAREK KRAWCZYK, former head of the General, Transplant and Liver Surgery Department at the Independent Public Central Teaching Hospital operated by the Medical University of Warsaw, talks to Jerzy Mosoń.

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MEDICINE Hepatic necrosis, or the collapse of the liver, once spelled a death sentence. But now patients stand a good chance of recovery. What has changed in liver transplant science in recent years to make that happen? The history of liver transplants began with the American surgeon Thomas Starzl, who performed the first successful surgery of this kind in 1967. He had tried before in 1963, but failed. We in Poland, as a team, learned from French Prof. Henri Bismuth, although I had visited Cambridge before, where Europe’s first successful liver transplant was performed by Roy Calne in 1968. He received an OBE for his achievements. In our department, we first attempted to transplant the liver in 1989. However, success only came five years later. I worked away from Poland at the time, my colleagues from the Department succeeded, and the transplant patient is still alive. There were not so many transplants in subsequent years. We gradually increased their number at our department, which is part of the Medical University of Warsaw, with a record number of 184 operations in 2014. It was also the best result in Poland. Currently, our department performs an average of 150 transplants each year. PM

What’s the biggest challenge facing liver transplant science right now? A short list of donors and a long waiting list have always been the biggest problem. It is getting worse because not everyone wants their liver to be donated to someone else after their death. However, using modern technologies we try to increase survival chances for patients on waiting lists, although in the case of such complex body organs as the liver, it is extremely difficult. First of all, a liver transplant must be performed within a fairly short period of time since the donor’s cardiac arrest, it is usually not more than twelve hours. The size of the liver and of the donor is also very important. PM

Maybe then there is a chance to develop an artificial liver? At present, an apparatus like that could not be built due to the complex structure and functions of the liver. The kidney is designed to filter urine, so the kidney machine which replaces it is relatively simple to operate. The liver is responsible for biochemical processes. All products processed by the digestive system reach it. Not only does it need to filter them, but it also neutralises toxins flowing in the blood. To do this, the liver produces albumins, which are proteins needed for life, and it also produces blood coagulants, and many other important compounds. PM

Is it possible, then, to build an apparatus which would at least be similar in function to the liver? Yes, but the structure of such an artificial organ should include liver cells responsible for biochemical functions. It would thus be a hybrid. We currently have an artificial liver PM

apparatus called Prometheus. It has two components: a dialysis apparatus and an absorber containing resins which trap toxic compounds from the blood. But it is only an ancillary device, used in special cases, for example, when the patient suffers from deadly mushroom poisoning, and we need more time to wait for a liver to transplant. Such a patient has a chance of survival if the transplant is carried out within two or three days. Then, unfortunately, irreversible liver damage and necrosis occur. Prometheus allows to extend waiting time for the transplant for up to 96 hours. It is thus what we call a transplant bridging solution. In what cases is Prometheus the most useful? Prometheus can save the lives of patients who have tried to commit suicide by taking a drug overdose, usually of paracetamol or other toxic drugs. It can be so effective that we can sometimes avoid transplantation because liver regenerates during the time Prometheus is used. PM

Buying time for a transplant to take place is an important achievement, but from the point of view of a patient who has been waiting for a new liver for many days, it doesn’t seem like enough. Let’s face it, a donor may not be found soon enough. That is why, for some time now, we have been reaching for organs that we would not have considered before. In the past, the age of the donor determined whether their liver could be used or not. The limit was set at 40. Now, knowing that the condition of the organ does not always coincide with calendar age, we focus more on the organ itself. For example, it is important how fatty the liver is. Fat content should not exceed 30%. But to increase the organ pool, we try to use even livers with 30% steatosis. This is the case when a patient is unable to wait any longer. We are constantly trying to expand the group of organs suitable for transplants. Before, we only used the livers who had brain death, but the heart was working. Now, organs are also obtained from those with cardiovascular cessation, although in this case it is necessary to hurry, because as a result of ischemia there is a risk of more complications.After all, blood supply to the liver has ceased. PM

What has changed in liver transplant surgery since the first transplant was carried out? Fluids which are used to flush blood away from removed organs have changed. We also keep modernising various techniques. Let me start with the fact that during surgery, we connect the bile ducts of the donated liver and the recipient’s end-to-end, without introducing a drain. Before, after anastomosis, we used to put in a drain to remove bile during the healing process. But we have realised that this caused more complications. PM


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We have also made great progress in liver transplants in younger patients. Children are a special case. Their weights differ widely, depending on age and development. There have never been too many young donors, and that's good, because a chance to save one child always resulted from the death of another. That is why we began to look for other solutions that would allow us to increase the number of transplants, not just through expanding the pool of available organs. In October 1999, we finally succeeded. We realised that a liver which only weighs 1% of a child’s body weight is enough to serve its purpose, so our first child patient received a slice of the liver of a live adult. Then, in collaboration with Prof. Piotr Kaliciński’s team from the Children's Memorial Health Institute, we performed about 350 similar transplants, in which the donor was either a father, mother, grandparent or older brother or sister of the patient, and with the consent of the family court, also a member of the extended family. As a result, no children waiting for a liver transplant die any longer. And unfortunately very many young patients need such surgery. Why do so many children develop liver problems? Liver failure in children is most often caused by biliary atresia, obstruction caused by underdeveloped bile ducts ‌this is the most common surgical biliary disorder of the neonatal and early infancy period. Subsequently, this disease leads to liver cirrhosis. Unless the child receives a transplant, its chances are not good. PM

If there are so many cases of atresia, is it legally justified to limit the circle of donors to the family? Unfortunately, yes, which is confirmed by the example of some undeveloped countries, where trade in human organs flourishes, in addition the organs are obtained in unsanitary PM

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conditions. Unless the group of people allowed to be donors is limited to the family, the practice could spread. PM

So, even if a stranger were ready to offer a child a piece of their own liver for transplant purposes, the law would prevent such an act of altruism? That’s right.

Does this also apply to other organs, such as kidneys? Not exactly, because in the case of kidneys, a cross-transplant is allowed. PM

What does it involve? Let's imagine that there are two married couples, and each couple has a family member who needs a kidney transplant, but due to the lack of immunological compatibility, the kidney cannot be obtained from the other partner, and such compatibility occurs in one person in the other couple, and vice versa. Then, on the basis of reciprocity, such transplants may be performed. In general, as we develop liver transplant methods, we draw on the experience of kidney transplant surgery. For example, the liver should be transplanted within 12 hours of collecting the organ at the most. We have more time for kidney transplants. This is thanks to a kidney perfusion apparatus which allows the perfusion fluid to flow through the organ, which extends its life by minimising ischemia. Our department is getting ready to use a similar liver perfusion device modelled on the kidney perfusion apparatus to some extent. It will enable us to reduce the degree of steatosis of the liver awaiting transplant, thus increasing its efficiency, as well as the chances that the transplanted organ will kick into action. We're constantly making progress. • PM




CHOOSING BETWEEN PORCELAIN AND POLYETHYLENE PROF. KRZYSZTOF KWIATKOWSKI, Head of the Traumatology and Orthopaedics Department at the Central Teaching Hospital of the Ministry of Defence, talks to Danuta Bierzańska. You were one of the members of the Scientific Committee of the 36th Scientific and Training Conference of Polish Military Orthopaedists. What modern technologies are used in contemporary orthopaedics? The experiments conducted in the laboratories of the centres which prepare medical technologies for orthopaedic practice signal in which direction clinical orthopaedics should develop. Among such innovations which are now being introduced to the treatment of patients are orthopaedic robots. Their task is inserting various kinds of implants into a joint damaged by disease with one-millimetre accuracy. So an orthopaedic robot performs a joint replacement surgery instead of a physician. The surgeon prepares the operative field for the robot. On the basis of various imaging tests – computed tomography, X-ray examinations and magnetic resonance imaging – and after determining the topography of important anatomical bone features, the robot starts its work. Of course, it does so under the supervision of the surgeon who controls the robot. PM

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Which means the surgeon’s hands are replaced by robotic arms? Yes, the robot’s task is to position with great precision the artificial parts which we implant into the patient. We usually correct some abnormality in the anatomy of a joint. The precision is needed to ensure a long life of the joint implant in the human body. Several types of orthopaedic robots have been developed in the United States and the Food and Drug Administration has approved some of them for use in humans. These latest robots are increasingly precise and require less and less involvement on the part of the surgeon. They are similar to the da Vinci robot, which is already known in Poland, and which has been designed to make it easier to perform complex surgical procedures in a minimally invasive way. It is now used in various fields of surgery, especially in gynaecological, urological and cardiac procedures. We do not have orthopaedic robots in Poland yet. For many years to come we will have to rely on the surgeon’s experience. But this does not mean that we are worse than these robots. Especially, given that they have only been programmed for and used in hip and knee replacement. Access to these surgeries is increasingly easy in Poland and they are performed very often, which means we are highly experienced and skilful in this field. Moreover, in my two specialities - traumatology and orthopaedics – the diseases and traumas we diagnose and treat range from the atlanto-occipital joint to the distal phalanx of a big toe so we have an advantage over robots. PM

Are hip and knee prostheses the same now as 10 or 15 years ago? The prostheses’ design has changed a bit as did their outer coating. It has been replaced with one which integrates with the human bone tissue more easily. The most important part of a prosthesis is the place where the two components of the artificial joint rub against each other – the place where the prosthesis moves. The surgeon’s task is to put the two components together in a precise way so that they resemble the movement of the natural joint as well as possible. The materials for making the prosthesis are chosen to ensure that they do not wear out because this process produces tiny particles which are dangerous for the body. The wear debris generated by friction may cause an inflammatory response. The material which is the most resistant to wear is porcelain. If the bearings of an artificial joint are made of porcelain they practically do not wear out. Bearing surfaces made of polyethylene are also used. Today, this material is so strongly compressed and solid that its wear rate is minimal. Medical polyethylene does not oxidise so its properties are close to those of porcelain. At present, surgeons most often implant joint prostheses without bone cement because it is not good for the organism. We fit the two components of the prosthesis in such a way that bone cement is not needed. The goal is to hammer them into the bone and leave them there forever. Around 95% of the joint prostheses are now fixed without the use of bone cement. At the time when I started my career as an orthopaedist, the situation was the opposite. Now, the design of hip prostheses speeds up their integration with the bone. In contrast, the cementing technique still dominates in knee replacement because of implant stability considerations. But in some cases, especially in young people, we do not use cement in knee replacement. The process of rehabilitation is longer, but prospects for the durability of the prosthesis are better. PM

WE DO NOT HAVE ORTHOPAEDIC ROBOTS IN POLAND YET. FOR MANY YEARS TO COME WE WILL HAVE TO RELY ON THE SURGEON’S EXPERIENCE. BUT THIS DOES NOT MEAN THAT WE ARE WORSE THAN THESE ROBOTS. What is the difference between military and civilian orthopaedics? Military orthopaedics deals mainly with multiple injuries to the locomotor system and injuries to multiple organs. Secondly, it deals with high-energy traumas, that is ones resulting from the impact of high kinetic energy. An organisational element is also involved here in the form of coordinated medical evacuation activity. Military orthopaedics, and military medicine in general, has to ensure appropriate conditions for first aid on the battlefield so as to help the injured person as quickly as possible. PM

Is military orthopaedics more modern and innovative? The Americans, who are the most advanced in this field, have gained their experience when treating soldiers injured in their numerous wars: in Korea, Vietnam, Iraq and Afghanistan. Then, this experience is transferred from military traumatology into wider clinical practice. Our experience is not as vast and it was American services that provided 70% of the treatment procedures for our soldiers injured on the missions in Iraq and Afghanistan. Generally, military orthopaedics is certainly better prepared for treating multiple and complex injuries. Degenerative diseases are predictable. Accidents and their consequences are not. PM

What is the biggest problem for orthopaedists these days? It is first of all the growing incidence of traumatic injuries. It breaks my heart during a ward round to see young people after accidents on motorbikes, scooters, skateboards, quad bikes or skis. Many of them are not skilled in using this equipment, are not fit and do not know how to practice sports. More and more often the injuries they sustain are multiple because these people lack imagination. They are reckless because they think you can have a second or third life, like in a film or a computer game. They do not foresee the consequences of their actions. It appears that we do not sufficiently educate people, especially the young. Maybe we should show them • the patients from our ward more often? PM

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A new musical entitled "Interrupted Silence" directed by Michał Znaniecki, one of the world’s most respected opera directors of today, tells the story of those whose hearing has been restored through an operation, and of their efforts to learn to appreciate music. The show’s premiere took place at the Warsaw Chamber Opera (WOK) Artistic Pool Stage in Warsaw on September 14. The man behind the idea is Prof. Henryk Skarżyński, the world-famous otolaryngologist, founder of the World Hearing Centre in Kajetany near Warsaw, who wrote the libretto for the production. The music is by Krzesimir Dębski, an outstanding violinist, composer and arranger, who works in many fields - jazz, pop and film music. The musical is about the miracle of science, and the victory of art, but perhaps above all, about a love found. Maciej Proliński


Hearing is the basis for the development of interpersonal communication, speech and human intelligence, and music offers the greatest support in shaping these skills" – is the musical’s motto. Patients of the World Hearing Centre in Kajetany have access to the most advanced medical technologies. This is the result of over 30 years of work by Prof. Henryk Skarżyński, who on July 16, 1992 was the first in Poland to carry out a cochlear implant operation. Since then, enormous progress in the treatment of hearing defects has been made in Poland, and further pioneering operations took place worldwide. Under the leadership of Prof. Skarżyński, new medical procedures have been developed and implemented, thanks to which it is now possible to identify and treat various groups of patients with hearing disorders. In Kajetany, the world’s largest number of operations on such patients has been performed for 16 years. Many surgical procedures were performed here for the first time in the world. Having regained their sense of hearing, some of Prof. Skarżyński’s patients, have discovered a passion for music. Pioneering operations have brought back to the world of sound many musically talented patients

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who, thanks to the operations and subsequent therapy, are not only able to develop their hearing and speech, but are also able to follow their musical passions. Inspired by their stories, five years ago Professor Skarżyński first organised an event during which patients presented their talents to a wider audience. Held in Warsaw, it is known as the "Cochlear Rhythms" International Festival of Children and Youth. The artists' talents and successes gave the Professor the strength to write a musical libretto which tells real-life stories of patients who can hear again. "Writing the script, I would like to pay tribute to those who have come out of silence, developed and enriched their speech skills, and have demonstrated their artistic skills," emphasises Prof. Skarżyński In the opening scenes of the musical we meet the main characters as kids. Olaf, Zosia, and Piotruś were born deaf. Operated on in the first year of his life, Olaf develops his musical skills, he plays the drums. Zosia undergoes a surgery a few years later than Olaf, and polishes her vocal talent. Her friend Piotruś regains hearing at a still older age. When, as a young pianist, he gives concerts all over the world and wins an international competition, Zosia notices (hears) him again.

The production features professional actors and vocalists, including Ewa Szykulska, Anna Jurksztowicz and Maciej Miecznikowski, the WOK vocal ensemble, and the Thetonacja string quartet directed by the composer. Among those taking part are also some of the professor’s patients who have regained their sense of hearing and now are developing musically. "Interrupted Silence" is a joyful journey full of emotions and humour. Before the premiere, composer Krzesimir Dębski pointed out that it is a show about those who have been excluded, about “the other,” and about tolerance. "We do not understand those who are hard of hearing, we do not appreciate how precious hearing is," he said. To this reviewer’s ear, this three-act production stands every chance of joining other acclaimed Polish works devoted to the beauty and richness of worlds experienced by people with disabilities. One such classic is the 1990 documentary entitled “The Abnormal,” directed by Jacek Bławut. There is also another musical "Music with Words" directed by Piotr Cieplak. “Interrupted Silence” is a work which promises to move you to the core and inspire you with the victories of its central characters. •


SEPTEMBER 2019 THIS MONTH WE TAKE YOU ON A JOURNEY INTO VARIOUS AREAS OF CULTURE WHERE EXCITING THINGS ARE HAPPENING, INCLUDING A JOURNEY INTO THE PAST. “POLISH MARKET’S” RESIDENT ART CRITIC MACIEJ PROLIŃSKI HAS SOME TIPS FOR CULTURE VULTURES. MUSIC MADNESS La Folle Journée, an international festival conceived by René Martin 25 years ago, is scheduled at the Teatr Wielki-Polish National Opera in Warsaw on September 27-29. This wonderful adventure with classical music in a relaxed atmosphere will be held in Poland for the tenth time. The organiser is the renowned Sinfonia Varsovia Orchestra, which has taken part in the festival since its first world edition. The theme of this season’s 61 concerts are "Travel Diaries." There will be songs inspired by expeditions to remote places featuring classical, jazz, pop and traditional music. A diverse programme, low ticket prices and an accessible formula make Crazy Music Days a festival for everyone. Audiences will be treated to works by Bach, Mozart, Szymanowski, Gershwin, Piazzolla, Kilar and Herbie Hancock. Invited performers come from Poland and abroad, including Nicholas Angelich (piano), Diana Tishchenko (violin), Sylvain Blassel (harp), Marcin Zdunik (cello) and Ewa Majcherczyk (soprano). Ensembles scheduled to perform will include the Atom String Quartet, the National Philharmonic Orchestra, the Polish National Radio Orchest ra and the Teatr Wielki ‌Polish National Opera Orchestra, not forgetting the Sinfonia Varsovia. For many years, performances of leading ensembles from schools from all over Poland have become a regular fixture of the line-up. This time, students from the cities of Częstochowa, Katowice, Płock, Warsaw and Krakow will perform on several festival stages. One of the rules is that each concert lasts about 45 minutes. Several concerts are simultaneously held on various stages from morning till late night. The choice is yours. Pick your own concert route. Each year, the festival proves that Poland has tens of thousands of music lovers who have taken to this kind of less formal presentation of some of the world’s best music.

MUSICALS INSPIRED BY PADEREWSKI On January 1 2017, the Adam Mickiewicz Institute announced a competition in the US for a musical inspired by the life and work of Ignacy Jan Paderewski (1860-1941) the world-renowned Polish pianist, composer and statesman. 250 artists from the New York musical scene competed in it, along with artists from Los Angeles, New Orleans and Albuquerque, New Mexico. The time to unveil the results has come. The first three productions will be shown in Warsaw, Washington D.C. and New York. The first of them ‌"Three Paderewskis" by Oliver Jai's Sen Mayer, presents Paderewski through three imaginary incarnations: a young virtuoso, a mature statesman and a woman conducting an internal dialogue with the young and mature musician. The key role in this musical is played by music written by Jenni Brandon in the form of a classical oratorio. Brandon recently won a prestigious prize for opera works awarded by the American Prize National Non-profit Competitions in the Performing Arts. The musical will be staged at the Kennedy Center, The Terrace Theater in Washington D.C. on November 20, to mark the 100th anniversary of the establishment of diplomatic relations between Poland and the United States. Another musical is "Virtuoso," directed by Laura Hope, based on an idea by Matthew Hardy, in which contemporary music is combined with works by Paderewski, Chopin and Beethoven. The production is in the form of a rock musical. It tells the story of Paderewski’s relationships with women. The show is scheduled at the Symphony Space in New York on November 22. Women in Paderewski’s life will also be featured in yet another production, "Memory Laws" by Rachel Jendrzejewski, to music by Chris Hepola and Jenny Wyse, and directed by Emily Mendelsohn, which will see its premiere at the iTSelF Festival in Warsaw on October 7. The figures of the composer’s mother, wives and lovers will be conjured up by singers who will take the audience on a musical journey through space and time. Stylistically, the production refers to the tradition of experimental opera and minimalist music by Philipp Glass and John Adams. Ignacy Jan Paderewski was a multidimensional character, a rare combination of an artist whose piano performances, and the music he wrote, were enchantingly beautiful, but who, as a politician, was also deeply involved in the harsh realities of fighting for an independent Polish state in the wake of WWI. In 1919, he was elected Prime Minister and Minister of Foreign Affairs of the Second Polish Republic. He achieved his first major success in his music career in 1887, when he made his debut as a pianist. A year later he was already performing on some of the world’s biggest concert stages. As a politician, he became famous for his presence, along with one of Poland’s independence leaders Roman Dmowski, at the Paris peace conference, which saw the signing of the Treaty of Versailles, ending WWI. Under Paderewski's influence as an internationally acclaimed pianist and a close personal friend, US President Thomas Woodrow Wilson called for Poland to become an

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independent state in his famous 14 points address to the US Congress. In 1922 Paderewski left Poland for the US, where he continued his successful piano career. He died in New York in 1941. He was laid to rest with the highest military honours among presidents, prominent US politicians and military commanders at the Arlington National Cemetery in Washington, D.C. In 1992, on the initiative of the then Polish President Lech Wałęsa, his ashes were brought home to be laid in the crypt of St. John the Baptist’s basilica in Warsaw. Paderewski's artistic career has no equal in the history of Polish music, as exemplified by the fact that his opera "Manru" is the only Polish work to be staged at the Metropolitan Opera in New York, and many times in a number of American and European cities.


This is the latest album recorded by the Polish Radio Orchestra in Warsaw, which performs back under its original name of 30 years ago. The album contains both concert recordings and archive Polish Radio studio recordings, made in the past four years. The album features a symphony by Jan Engel, two overtures by Chopin’s music teacher Józef Elsner ‌to the opera 'Andromeda' and to the opera 'Leszek the White or the Witch of Łysa Góra,) overtures by Maksymilian Einert and Karol Kurpiński, and two overtures by Stanisław Moniuszko to the operetta "The New Don Quixote” and to the opera "Verbum nobile." The final piece on the album is "Three Dances" by Juliusz Zarębski in Liszt’s instrumentation. The music is colourful. It is performed with a flourish by the Polish Radio Orchestra under its artistic director Michał Klauza. The album is complete with a booklet, where individual composers and their works are described by musicologist Prof. Maciej Negry.


The album is in tribute to one of the most important Polish rock stars and composers Lech Janerka, born in 1953. On the disc, you can listen to a dozen or so songs from various periods of his work, and the only instrument is a bass guitar, used and processed in various ways. This idea came naturally. Janerka solely plays and writes for the bass guitar. Two experienced bassists, Małgorzata Tekiel and Piotr Pawłowski, have teamed up for the recordings sessions. They invited other artists, including singers Marcin Świetlicki, Wojciech Waglewski and Katarzyna Nosowska. The arrangements may be new and striking, but the spirit of original works is faithfully kept. The approach is fairly unemotional, individual glimpses of the past come like a series of photographs, and reality is blurred to bring in a sense of fantasy. Janerka’s unique style is brought out. The music is youthful, spontaneous, and yet mature and sophisticated, the lyrics are often cheeky, yet give you plenty to think about. The structure of the album is clear-cut and consistent. Old favourites are given justice, and the new versions complement them with fresh ideas.


Andrzej Wasylewski (born in 1937) is a cinematographer and director of documentary and music films, as well as TV Theatre productions. He also directs and produces various cultural events. His history of Polish jazz, in a book and documentary film form, is based on his conversations with the greatest jazz artists, including Jerzy Duduś Matuszkiewicz, Jan Ptaszyn Wróblewski, Michał Urbaniak, Zbigniew Namysłowski, Wojciech Karolak, Tomasz Stańko and Włodzimierz Nahorny. The DVDs feature the "Jazz history of Poland" documentary, along with a recording of the "A Story of Polish Jazz" concert by major stars, directed by guitarist and composer Jarosław Śmietana, as well as a biographical documentary "Better Luck Next Time," dedicated to the composer and pianist Andrzej Trzaskowski. Polish jazz has always gone from strength to strength. Its beginnings in the second half of the 1950s coincided with a political thaw which followed the death of the Soviet dictator Stalin. Interestingly, the history of Polish jazz is poorly documented, so this latest release marks a welcome change in this respect. Andrzej Wasylewski is a man perfectly suited for the job. He has documented the achievements of the greatest personalities of the Polish jazz scene with his camera. The "Jazz history of Poland" consists of ten half-hour episodes, taking the viewer to the time when jazz had firmly broken ground by the year 1960. Wasylewski explains that he first wanted to show only what he witnessed, first as a student of the King Jan Sobieski High School in Krakow, which was also attended by future jazz giants Jerzy Matuszkiewicz and Andrzej Trzaskowski, and then as a student of the famous Łódź film school. Then he decided to add more elements to his work, which he modestly calls "my impressions of the jazz scene of the day," to show how jazz was born in Poland. He brings out the Polish and Slavic motifs which have made Polish jazz quite unique and internationally famous. In the interviews, the masters talk about their music, the jazz scene, and also about Polish society, which in the late 1950s and 1960s experienced an explosion of artistic freedom following the demise of hard-line Stalinist communism. "Many of those featured in my book are no longer with us. Fortunately, I have recordings of conversations I had with them," says Wasylewski. They do offer a revealing glimpse at the origins of some truly amazing jazz careers.

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FROM CLASSIC OPERA TO STRIKING SCULPTURE BY HASIOR The Teatr Wielki P ‌ olish National Opera in Warsaw combines the potential of the venue itself and of the people who form the company. It keeps proving that it is among the leading European opera houses. Co-productions with the world’s largest opera companies, appearances by outstanding directors, singers and conductors, and a varied programme, all this makes the Warsaw opera well worth a visit. The National Opera, under managing director Waldemar Dąbrowski, artistic director Mariusz Treliński and music director Grzegorz Nowak, promises to bring plenty of fresh, creative ideas in the new season. Maciej Proliński

The focal point of the 2019/2020 season j‌ ust like of the previous one ‌will be the 200th birth anniversary of Stanisław Moniuszko, the father of the Polish national opera. And although the Moniuszko Year calendar officially ends on December 31, the celebrations will continue for several months longer, opening up good prospects for the future. We believe that our offering will satisfy the expectations of seasoned opera and ballet lovers, while at the same time attracting those who have not yet visited the opera house," notes Waldemar Dąbrowski. The director received a special award in the Leadership in Opera category for outstanding achievements in managing an opera institution at the International Gala Opera Awards at London's Sadler's Wells Theatre in the spring. What productions can audiences expect at the Teatr Wielki P ‌ olish National Opera in Warsaw this season? Three opera premieres are scheduled, including the long-awaited "Halka," probably the most famous work by Stanisław Moniuszko. It is the story of highlander Halka’s ill-fated love for Janusz, an impoverished nobleman, and of peasant Jontek’s attempts to unmask deceitful Janusz for what he really is. The production is directed by Mariusz Treliński. It will be first shown at the Theater an der Wien in mid-December, to have its Polish premiere at the National Opera in Warsaw on February

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11. The production will star the internationally acclaimed Polish tenor Piotr Beczała. Young soprano Maria Stasiak will appear as Halka. The Teatr Wielki National Opera Orchestra will be conducted by Łukasz Borowicz. May 5 will see the premiere of Luigi Cherubini’s "Medea." The opera by the undeservedly forgotten classicist composer was re-discovered in the mid-20th century. Its star attraction at the time was Maria Callas, who appeared as Medea. She was later to play the part of this tragic character in the famous film by Pierre Paolo Pasolini. In the Warsaw production, Georgian singer Khatuna Chokhonelidze, soloist of the National Opera in Tbilisi, will appear as Medea. The production, which is inspired by Passolini’s cinematic images, is staged by Australian director Simon Stone. Another opera premiere, Jules Massenet's "Werther," a study of romantic love based on Goethe’s work, will take place on May 29. Tenor Peter Berger will appear in the title role. The production is directed by Willy Decker. The Polish National Ballet is planning two premieres this season. The first one, on November 16, will be a choreographic triptych entitled "Lost Souls.” It will feature original choreography by Bronisława Niżyńska, sister of the legendary Polish-born dancer Wacław Niżyński, with music by Stravinsky; the first showing of Krzysztof Pastor’s "Do Not Go

Gentle," also to Stravinsky’s music; and "Infra" to music by Max Richter, directed by the respected contemporary ballet master Wayne McGregor. The second premiere of the season will be "The Corsair," a ballet performance based on Byron’s poem, with contemporary choreography by Manuel Legris, first produced by the Wiener Staatsballett in 2016. The production features music by Adam Adolphe. "The Corsair" opens in Warsaw on March 20. The Opera Gallery is a joint project of the Teatr Wielki‌Polish National Opera and the Academy of Fine Arts in Warsaw. Opera and ballet lovers will surely find it a welcome addition to the music feasts. In the new season, an exhibition of works by sculptor Władysław Hasior (1928-1999,) one of the most important and most recognisable Polish artists, promises to make quite a stir. Hasior was an artist with an imagination and courage that knew no bounds. He became famous for experimenting with painting, sculpture, architecture and handicraft. Hasior's works are described as quintessentially Polish, and mostly feature motifs taken from the Tatra highlander’s folklore. The artist lived and worked in the mountain resort of Zakopane at the foot of the Tatras. His works are steeped in the region’s distinctive culture, history, and nature, as well as possessing universal qualities. You can visit the exhibition from December 9 until March 8. •

This year marks the 350th anniversary of the death of Rembrandt van Rijn (1606-1669), one of the greatest artists of all time. Polish cultural institutions are joining in the celebrations by organising exhibitions and events dedicated to the work of the Dutch master. 36 of his original works go on show at the Royal Castle in Warsaw from October 4 to November 3. Two paintings from the Castle’s own collection, the"Girl in a Picture Frame" and "Scholar at His Writing Table" will be accompanied by 3 drawings and 31 prints from other Polish collections, as part of the "36 x Rembrandt" exhibition.

Rembrandt vanCULTURE Rijn ‌"Girl in a Picture Frame" ‌Royal Castle in Warsaw

36 times

REMBRANDT Maciej Proliński


he great Dutch painter and graphic artist, considered one of the greatest painters in history, is sometimes called the painter of the soul. He mastered the chiaroscuro technique to perfection, using it to make his works look more dramatic and to heighten their mood. He was inspired by motifs taken from the Bible and Greek myths, but he also painted genre scenes, landscapes and numerous portraits, including many self-portraits. The exhibition at the Royal Castle promises to be an unmissable opportunity to experience so many of his works in one place at one time. During the Rembrandt Year, the Royal Castle also celebrates the 25th anniversary of a unique gift by Prof. Karolina Lanckorońska (1898-2002). This art historian, activist of the Polish expatriate community in Italy, and the last descendant of the Lanckoroński aristocratic family, decided to donate two famous paintings by the Dutch master, "Girl in a Picture Frame" (1641) and "Scholar at His Writing Table" (1641) to the Royal Castle in

Warsaw, where they can now be admired. At the exhibition, visitors will be able to learn more not just about the paintings themselves, but also about their extraordinary history, as well as their popularity over the centuries. The focal point of the exhibition will of course be the two famous paintings. The first part of the show will be devoted to the history of both works. Portraits of Polish collectors who used to own Rembrandt paintings, will also be shown. A special place among them is occupied by Prof. Lanckorońska. The "Scholar at His Writing Table" and "Girl in a Picture Frame" originally belonged to the private collection of Poland’s last king Stanisław August Poniatowski. They were both purchased in 1777. The king’s nephew, Prince Józef Poniatowski, heir to the throne, inherited them after the king’s death. The paintings were acquired from him by Kazimierz Rzewuski and then passed through several aristocratic families, ending up in the possession of the Lanckoroński family. The family owned one of the most

significant art collections in Europe. In 1994, Prof. Lanckorońska donated 13 works to the Royal Castle in Warsaw which are currently displayed in three rooms on the ground floor. In one of the rooms, the two glass-encased Rembrandt paintings are on show. In the room you can also find large X-ray images of the paintings. The second part of the exhibition is devoted to 18th and 19th century copies of works by Dutch masters. These include paintings, prints and miniatures, testifying to the popularity of the original works, and showing how differently the same image may look depending on the technique and scale which have been used. The final part of the exhibition, which consists of 31 prints and 3 drawings by Rembrandt from other Polish Collections, places the two paintings held in the castle’s collection in a broader context. In this part of the exhibition you will find studies of the figures of women, older people and scholars, as well as Rembrandt's self-portraits and images of • his closest relatives. 9/2019 polish market




Maciej Proliński

The 350th death anniversary of Rembrandt van Rijn, and the 450th death anniversary of Pieter Bruegel the Elder, are celebrated this year. As part of the "Treasures of the National Museum in Warsaw" series of exhibitions, you can admire rarely displayed graphic works by the two masters from October 4 until November 3. The works represent various periods of the artists’ lives, from their youth to old age. They are all originals, and not, as is sometimes the case with graphics, prints made from preserved plates after the artist's death.


oming hot on the heels of "Pablo Picasso" and "One string. Malczewski and Słowacki," the exhibition of works by Rembrandt and Bruegel is the third show in the series "Treasures of the National Museum in Warsaw," which features works from its collection that are not normally on display. While the collection includes some 900,000 works, just 0.5% of them are permanently on show. The Foreign Prints Collection of the National Museum in Warsaw numbers about 85,000 works. It offers an overview of all major European graphic schools from the late 15th century to the early 20th century. "Bruegel and

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Rembrandt are known mainly as excellent painters, but they also executed graphics. Both referred to tradition, but to these two highly creative artists, it only served as a source of inspiration, not ready-made solutions. The main difference between the artists lies in their different approach to the graphic medium. Bruegel made one etching himself ("The Rabbit Hunt,") but sketched numerous drawings - designs intended to be processed by professional engravers. Rembrandt, on the other hand, treated graphics as an autonomous medium. He not only worked on the design, but also produced etchings and printed the works himself, experimenting in all areas- from

the way the engraving was developed, to the types of paper used for prints - forever expanding, like no one before him, the technical possibilities of artistic expression,”emphasises Joanna A. Tomicka, art historian, curator of the Foreign Graphic Collection and curator of the event. The exhibition at the National Museum in Warsaw will give visitors the opportunity to get an insight into the work of the two masters and visionaries. It promises to be an intimate encounter which will require plenty of concentration. It may not be as spectacular as in the case of shows focusing on the artists’ paintings, but it certainly promises to be just as fascinating.



Joannes and Lukas van Doetecum, according to Pieter Bruegel the Elder, “Alpine Landscape with a Deep Valley,” from the “Big Landscapes” series

A show of Rembrandt's graphic works ("Rembrandt in person")- a total of 40 etchings - will feature a wide range of topics, from biblical scenes to generic scenes, to portraits and nude studies. It will also focus on the great Dutch artist’s search for new techniques and solutions he used to give vent to his imagination. Among graphics taken from the collection of the National Museum in Warsaw there will be an etching masterpiece: "Three Crosses" (1653.) The master repeatedly addressed Crucifixion as an important topic for each Christian, not only in graphics, but also in oil paintings. His "Three Crosses" is recognised as the world’s greatest work in the history of graphic art. It is a passionate work of high drama with a very powerful impact. It relies on the chiaroscuro technique which combines light and shadow, which is also masterfully used by Rembrandt in his paintings. Rembrandt was also second to none in the way he portrayed human emotions and captured psychological nuances. This also comes to the fore in his graphic works. Visitors will also be able to admire his other important works, including the "Self-portrait in a beret and shawl" (one of the most valuable post-war purchases of the National Museum in Warsaw, made in 1957,) the "Beggar supported by a stick facing left," and the "Charlatan."

The exhibition dedicated to Bruegel the Elder, one of the most famous Flemish painters, an equally multifaceted and mysterious artist with great imagination, a great sense of humour and grotesque, is entitled "Bruegel in company." Next to "The Rabbit Hunt," you will be able to see 30 engravings based on his drawings, made by a group of Antwerp engravers he worked with. Among works on show there will be the "Parable of the Good Shepherd," "Parable of the Wise and Stupid Maidens," "The Last Judgment," as well as works from the "Seven Virtues" and "Great Landscapes" series. The selection will also include a presentation of Bruegel’s sources of inspiration, works by Hieronimus Bosch, and sample engravings based on Bruegel's drawings after his death. This section will include a unique workthe only surviving copy of the cycle "Small landscapes," documenting the original layout of the composition. Some works from the collection of the National Museum in Warsaw will go on display for the first time, showing many aspects of Bruegel's work, such as the vast scope of his artistic imagination, the way he commented on universal truths regarding human nature, as well as his metaphysics. "Works on various subjects show innovative solutions in the field of landscape, other allegorical works are universal parables,

Rembrandt van Rijn, “Self-portrait in a Beret and Shawl”

while genre scenes introduce the viewer to the artist's surrounding realities (open air markets, carnivals, everyday village life.) Bruegel’s wit, his power of observation, and technical skills have made him one of the favourites of both art connoisseurs and the general public,” says Joanna A. Tomicka. • 9/2019 polish market



HIS OWN BATTLE OF GRUNWALD For over four years, IRENEUSZ ROLEWSKI, and up-and-coming young Polish painter, student at the Władysław Strzemiński Academy of Fine Arts in Łódź, has been working at the National Museum in Warsaw on the first life-size copy of the most famous Polish historical painting, the monumental "Battle of Grunwald" by Jan Matejko. The work commemorates the victory of combined Polish and Lithuanian forces over the Teutonic Knights in the year 1410. We believe “Polish Market” readers could do well to remember the name of the artist, whose works testify to his remarkable passion, talent and humility.


he "Battle of Grunwald" is one of the most famous paintings held in Polish art collections. Since 1945 it has remained in the collection of the National Museum in Warsaw. The work by Poland’s most famous historical painter Jan Matejko, executed in 1872-1878, shows in a condensed form, through the most dramatic moments and twists, the battle of Polish and Lithuanian troops with the Teutonic Knights. The climax of one of the largest military campaigns in mediaeval Europe, the battle was fought in the fields of Grunwald on July 15, 1410, and ended in the victory of Poles and their allies. The painting, oil on canvas, measures 426.5 × 987 centimetres, all of 42 square metres. Ireneusz Rolewski was born in 1993 in the town of Łowicz, west of Warsaw. He grew up in a children’s home at Strobów. He is a graduate of the Tadeusz Makowski Secondary School of Arts in the city of Łódź. He studied painting at the Faculty of Graphics and Painting at the Academy of Fine Arts in Łódź. Because he has been involved in his work on a copy of "Battle of Grunwald" for a long time, he is yet to defend his M.A. thesis. He has already had five one-man exhibitions, and he has participated in over forty group exhibitions. He lives in Warsaw. Prof. Andrzej Grenda thus comments on Ireneusz’s path: "For many years, I have had the pleasure to lead a group of talented young people along an

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Maciej Proliński arduous artistic path at the Realistic Drawing Studio of the Academy of Fine Arts in Łódź, (...) The word 'passion' now appears to have lost its value, it is too often and nonchalantly used on any occasion. Ireneusz Rolewski is extremely creative. He works all the time, learning the secrets of various techniques. He studies nature, and he draws and paints what he sees. He does not trust electronic tricks. To quote Zbigniew Warpechowski, he flies in the face of what this shallow world of ours teaches us: cunning, calculation, arrogance, cynicism and rudeness." Five years ago, this young Polish artist undertook to do something which seemed impossible, to make the first exact copy of Matejko’s famous "Battle of Grunwald." On a huge canvas laid out on the floor of the Matejko Hall of the National Museum in Warsaw, he reproduces this great work inch by inch. The young Pole wants this gigantic battlescape to become Poland's ambassador in foreign countries. “The "Battle of Grunwald" has accompanied me all my life. When I was a child, the image of this painting used to hang over my bed; it was the first image I saw. A teacher at school talked about Matejko's life, how he painted it, and explained what purpose his painting was meant to serve. This image tells those who visit the museum a lot

about Polish history, patriotism. Over time it became my favourite work. Its painter, the great Jan Matejko, became my guiding light, my model artist, my master. I began to follow his life, his art, I traced his fascination with the passing of time. I discovered how to find traces of days gone-by - in stones, in trees, architecture - and capture these impressions and thoughts in my paintings. I appreciate Matejko’s view of Poland. He often pointed out his fellow countrymen’s mistakes. But above all, his works served "to raise the spirits of Polish people" at the time when Poland did not exist on the map of Europe, divided as it was between the three neighbouring powers Russia, Austria and Prussia. He shaped the next generation of great Polish painters: Jacek Malczewski, Józef Mehoffer, Stanisław Wyspiański." "When I was a student at the secondary art school,” says Rolewski, “I made the first copy of the "Battle of Grunwald." It was a mural on the wall of the room of my dormitory, and my "Battle" is still there. During my studies, my fascination with this work deepened, this image was driving me crazy. So I went to the then dean Prof. Zdzisław Olejniczak, and I said that I wanted to make a faithful copy of Matejko's work, but not from photographs, but from the original. I got permission and support from the dean and Grzegorz

CULTURE Kalinowski, Ph.D.,. of the painting technique workshop. I also wrote a letter to Agnieszka Morawińska, then director of the National Museum, asking her for permission to work on the basis of the original. It was granted by the museum's legal, conservation and security departments. Originally, I started painting only one part, a small fragment featuring the Czech knight Jan Žižek, later the commander of the Hussite army, the national hero of the Czechs, who is depicted in the lower part of the painting, toward the righthand corner. While working at the museum, I found out that Matejko's famous painting is in poor condition. It is acidified, the canvas has lost its elasticity over the years, and so the conservators have decided that it should never leave the Matejko Hall at the National Museum in Warsaw. It occurred to me that I should make a copy of the entire paint-


museum is closed to visitors. Each Monday the museum falls silent, so Ireneusz is free to get immersed in his favourite work. "I have completed all painting work at the National Museum. I am now transferring my copy to the old Printing House of Stara Papiernia in the Warsaw suburb of Konstancin Jeziorna, which has a huge empty room. I will renovate the frame there, and the canvas will be stretched over it. I think that the first public show, the official unveiling of my "Battle of Grunwald," will take place toward the end of the year. I would love my work to travel abroad as Matejko wanted it to. I would like people to see this picture, to discover Polish history. The original can't travel anymore. I think it should first be shown in Lithuania," says Rolewski. In many ways, Ireneusz represents values that seem long lost in contemporary culture. His love of beauty, his selflessness and humility

"The Battle of Grunwald" by Jan Matejko. Source: Digital collection of the National Museum

ing. At the beginning of the work, I began to count: if I divide the bottom part into five equal parts, add two halves on the sides, and divide the top into four parts, having folded them I will have the surface of the large Matejko canvas restored. I realised that I had to change at least one bit in the copy, the image size also had to differ from the original, so I enlarged the painting a bit. I did all this work for myself, and then with other people in mind. Working in the Matejko room, I noticed how much the "Battle of Gruwald," and with time, also my work, managed to bring people together," notes Ireneusz.

The artist emphasises that without the help of sponsors, namely the Orlen Gift of the Heart Foundation, a scholarship from the Ministry of Culture and National Heritage, the Children's Home in Strobów, which reimbursed most travel costs from Łódź to Warsaw, and paid for some materials, as well as of the PKO BP Foundation, this feat would not have been possible. Ireneusz also painted other works commercially to pay for this extraordinary and arduous work, and he did some work in the UK. Museum director Prof. Jerzy Miziołek's green light meant a lot to him. The director allowed him to work on Mondays when the

are quite extraordinary. And what does art mean to him? "Art is a way of communicating with other people using perfect forms. Art is beauty. It’s like a plant, like a tree. It attracts us, but it also carries a lot of substance.” "We are moved. It is so hard to find a selfless young person like him these days. He has so much to give in terms of his talent and his own time. The museum has decided to help him, so we are helping him as much as we can, too. We applaud and support what he does.! We also hope that this is not his last word, " says Jarosław Adam Talarowski of the National Museum in Warsaw. • 9/2019 polish market



DEVELOPER’S DAYS WITH CHARLES MONTGOMERY AS GUEST SPEAKER On October 16, the capital of the south-western region of Lower Silesia will again become the heart of the Polish residential market thanks to the 8th Developer’s Days. The prestigious conference will be held at the National Music Forum in Wrocław and will bring together the most important developers and world-famous experts. Among those who have already confirmed their presence at the event are Charles Montgomery (Happy City), Vincent Kneefel (WWF), representatives of the Office of Competition and Consumer Protection (UOKiK), the Polish Bank Association (ZBP), and associations of architects and urban planners, city mayors and owners of the largest companies operating on the housing market. This year, the Developer’s Days promise to be like no other before.


This year, the Developer’s Days conference will not only discuss topics important for the sector but will also have very exceptional speakers. A special guest at the conference will be Charles Montgomery, one of the world’s best-known and highly regarded urbanists, a specialist in the history and development of towns. The award-winning Canadian writer, visionary and urban activist is the author of the book “Happy City: Transforming Our Lives Through Urban Design.” In his book he combines the art of urban design and the study of happiness. He also tries to answer the question about the future of cities, which - according to WHO data – will be inhabited in 2050 by nearly 66% of the world’s population. At the Developer’s Days 2019 conference, Montgomery will speak about how cities influence people’s thoughts, behaviour and emotions, what impact infrastructure has on the development and happiness of the residents, and whether we are ready to design and create spaces which, in a natural way, will make us happy. The goal of all this is to meet the expectations of the residents. REAL ESTATE SECTOR IN THE FACE OF CLIMATE CHALLENGES

Developers increasingly give attention to the problems of wise management of the investment process, allocation of resources, use of district heating networks and smart solutions. During the Developer’s Days we want to put discussion about eco-friendly construction onto a new, higher level. This is why Vincent Kneefel, the global leader of

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the WWF project “No Plastic in Nature” will be one of the panellists at the conference. Kneefel has experience in the area of sustainable development, environmental protection, clean technologies, intelligent buildings and cities, circular economy and digital and business strategy. He held managerial posts at the United Nations Organisation, Accenture and worked for many Fortune 500 companies as consultant for sustainable development strategies. THE ONLY SUCH CONFERENCE IN POLAND

This year’s Developer’s Days conference will not be devoted solely to environmental protection and urban policy focused on designing a city where people can live happily. Participants in the conference will also be talking about the challenges of contemporary construction, omnipresent automation, security of homes for rent, new business models, and parking ratios in the times of changing patterns of urban mobility. Dorota Jarodzka-Śródka, president of the Wrocław Chapter of the Polish Association of Developers (PZFD), the organiser of the conference, says the Developer’s Days this year will be like no other before. This year, we will be looking for answers to questions about challenges facing developers with a unique group of speakers, including foreign guests. “As developers, people responsible to a large extent for the shape, appearance and development of contemporary cities, we see a growing need to pay attention not only to technical matters, but also problems of broadly-conceived wise spatial planning, urban policy, environmental protection and

issues directly associated with the quality of life of the people living in the cities that we co-create. As we want to look broader than before at the phenomena and processes important to us, and at the same time take into account international perspectives and good practices, we have decided to invite worldfamous specialists, such as Charles Montgomery and Vincent Kneefel, to the Developer’s Days this year. On October 16, we will be talking together about issues which will help us to meet the constantly growing expectations of city residents in an increasingly effective way and one consistent with the latest trends.” Among the panellists at this year’s conference will also be representatives of the Office of Competition and Consumer Protection (UOKiK), the Polish Bank Association (ZBP), associations of architects and urban planners and the Polish Association of Developers as well as officials of government departments, city mayors and partner firms. •

*** The organiser of the event is the Wrocław Chapter of the Polish Association of Developers (PZFD). The PZFD brings together more than 180 developers from across Poland, more than half of all developers operating on the Polish market. *** Join the group of experts today. The detailed programme of the Developer’s Days and tickets are available from the website



Winners of the Modernisation of the Year competition for 2018

Wojciech Wardacki, President, Grupa Azoty collects the "Polish Market” award from Deputy Editor Jerzy Mosoń


he competition jury, which included the winners of previous editions, awarded prizes to investors, contractors and designers for their joint efforts. Over 500 investment projects from all over Poland were entered for this year's edition of the competition. Over 80 qualified for the finals. “The purpose of the competition is to select construction projects: modernised facilities and new facilities in urban space completed in a given year, which stand out thanks to their

special qualitative, functional, urban and aesthetic values,” says Roman Pikuła, president of the Association for the Protection of Material Heritage, organiser of the national competition "Modernisation of the Year and Construction of the 21st Century.” “The competition is developing very dynamically. Each year we break new records in terms of the number of participants and finalists. Last year, the jury travelled over 7,000 kilometres to visit each site. This year it was almost 10,000 kilometres.” During the gala ceremony, the results of the third edition of the European Award International Construction Competition were announced. 85 participants entered for the competition from Ukraine, the Czech Republic, Slovakia, Slovenia, Belarus and Kazakhstan. “This is the only project of its kind in Europe. We award prizes for good workmanship and excellently designed investment projects. For us, the organisers and jurors, what counts is a worthwhile underlying idea, as well as respect for the achievements of previous generations and the natural environment,” says Roman Pikuła. The competition promotes the functionality of modernised and revitalised buildings and structures, modern technological and design solutions, the use of new construction techniques, modern, efficient and safe machinery, high standard of construction and conservation work, the use of new quality construction materials and eco-friendly approach. In the case of historic buildings, we appreciate the investors’ and contractors’ care for cultural heritage, preservation of the original features of buildings, and protection of contemporary cultural assets. As the media patron of the competition, "Polish Market" awarded a prize to Azoty Group for the construction of the Research and Development Centre in Tarnów. During the gala ceremony at the Royal Castle, the prize was handed over to the Group’s president by "Polish Market" Deputy Editorin-Chief Jerzy Mosoń. • 9/2019 polish market




FORUM IN KRYNICA The motto of this year's forum was "Europe of tomorrow. ‘Strong’ meaning what?" During this largest event of its kind in this part of Europe, participants had the opportunity to choose from among over 200 debates, sessions and other events.

RECORD ATTENDANCE This year, Krynica was visited by nearly 4,500 guests and over 600 journalists from 60 countries. For the past thirty years or so, the Forum has provided room for discussions on ways of dealing with universal threats. The fact that more and more foreign guests attend the event, in fact they account for well over a third of the participants, shows that different views and the will to seek compromise are needed in debates on regional problems and issues of global significance.

KRYNICA IS ALL ABOUT PEOPLE This year's Forum was attended by the most important players in the world of politics, business, science, culture and media in Central and Eastern Europe. The guests included current and former prime ministers, speakers of parliaments, government ministers and parliamentarians, as well as representatives of the most important corporations which operate both regionally and globally. The 29th Economic Forum also hosted representatives of the most important Polish state authorities.

A STRONG EUROPE The Forum’s slogan "The Europe of Tomorrow. ‘Strong’ Meaning What?" expressed the desire to build a strong Europe, which many perceive as

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their goal. However, as it turns out, there are various definitions of this goal. According to the Polish Development Fund (PFR) President Paweł Borys, in the last 10 years the Eurozone has been associated with weak economic growth, growing debt and printing money. Of late, the situation has started to improve. There are still many problems to be resolved, including the EU’s 3 billion unemployed young people, and Europe’s attempts to come up with a united stance regarding the US - China relationship. The PFR president noted that not all countries agree on integration and the common budget. For this reason, the European Union member states should seek points that unite them, build on them, and look for solutions to existing problems. These areas include security, health, education and the energy policy. The president of Bosnia’s Republika Srpska (Serb Republic), Željka Cvijanović, said she was in favour of EU enlargement to admit more countries. She said that this was the key to further development, which has contributed to the creation of a stronger continent than it was 50, 30 or 20 years ago. The topic of Brexit figured prominently in the debates. According to Maltese Minister of Economy, Investment and Small Enterprises Christian Cardony, the answer to this question is unclear. He pointed out that the UK is a net contributor to the EU budget. This means that in the wake of Brexit, financial outlays are likely to decrease.


POLAND AGAINST THE BACKDROP OF THE REGION IN A REPORT BY THE INSTITUTE OF EASTERN STUDIES AND SGH WARSAW SCHOOL OF ECONOMICS IN WARSAW A few years ago, Poland overtook Greece in terms of per capita GDP. It is now breathing down Portugal’s neck. According to a report by the SGH Warsaw School of Economics and the Institute of Eastern Studies, Poland can be expected to achieve the EU average, and catch up with Germany, by 2040. Poland’s 3.2% growth rate contributes to this. For three decades, this country’s growth has been the fastest on the continent, and three times faster than in the old European Union member states. However, there are some hurdles to overcome, including an aging society and labour shortages. According to the report, Poland is likely to experience an economic slowdown. “I think that we are facing a significant slowdown. We do not have far-reaching projections to determine whether it will be a recession or not,” said prof. Marek Rocki, rector of the SGH Warsaw School of Economics.

the problem of fake news. She described the present times as an era of communication. Jerzy Kwieciński stressed the value of international cooperation. In 1991, Poland began the EU integration process at a time when its living standards approached 40% of Western countries’ living standards, he said. In 2004, when it joined the European Union, the level was estimated at 50%. Since EU accession, living standards have further improved to 70% of the European average. Through these data, the minister showed ways in which international cooperation has had a positive impact on Poland.


HEALTH CARE AS ONE OF THE FOUNDATIONS OF THE STATE Several topical panels were held as part of the Health Care Forum. At a gala event, awards were presented to the winners of the Health Care Forum Ranking 2019. The ceremony was attended by Minister of Health Łukasz Szumowski. The winners in individual categories were: - Investor: Lux Med Group - Exporter: Essity Poland - Production of medical equipment and devices: Synektik SA - Equipment distribution: Medtronic Poland - Hospitals and clinics: Beskid Medical Centre and Prof. F. Łukaszczyk Oncology Centre - Clinical Trials: Andrzej Mielęcki Public Teaching Hospital of the Silesian Medical University in Katowice - Innovation Leader: Polpharma and the Oncology Institute in Gliwice - Social Responsibility Leader: Hearing and Speech Centre in Kajetany. - Special Award: MSD

HISTORY KNOCKING ON THE DOOR. ECONOMY AND POLITICS A discussion devoted to the search for a key to the future was attended by Dagmāra Beitnere-Le Galla, Speaker of the Latvian Parliament, Borys Tarasyuk, Ukrainian Minister of Foreign Affairs, Gordana Čomić, Deputy Speaker of the Serbian Parliament, and Jerzy Kwieciński, Polish Minister of Investment and Economic Development. Borys Tarasyuk pointed to the 1938 Munich Agreement, which led to World War II. In his opinion, no proper conclusions have been drawn from those events. He hinted that the present situation appears similar. In his opinion, modern European countries favour a policy of appeasement, which, in his opinion, is a violation of human rights, because as he put it, an occupation is still taking place in Ukraine. Asked how she perceives the impact of history on the future of the world, Gordana Čomić admitted that history still makes itself felt, but people do not draw conclusions from it and keep making the same mistakes. As an example, she spoke about the European Union, which is a peace project. She said she disapproved of Brexit as a move which is bound to have adverse effects. Dagmāra Beitnere-Le Gall emphasised the need for good communication and keeping abreast of life in Europe. She also highlighted

The Programme Council of the 29th Economic Forum awarded Polish Prime Minister Mateusz Morawiecki the Man of the Year title. The award was presented to him by the Speaker of Parliament Elżbieta Witek. “In 2018, Poland showed its aptitude, we owe it to entrepreneurs who take the bull by the horns, who take risks. It is a reward for them, too,” said the prime minister on receiving the award. Mateusz Morawicki admitted that he is fond of the Krynica-Zdrój resort and enjoys taking part in the Economic Forum. But most of all, he said he welcomes the ambitious plans of Polish companies presented in Krynica. “I am here for the fourteenth time, I have watched the forum evolve, I have followed the evolution of the Polish economy, and I hope that fourteen years from now, we will be able to say that Poland has reached the level of economic development of Western European countries,” said Mateusz Morawiecki. According to the prime minister, thanks to the visionary approach of Polish companies, in the next few years we can expect economic development which will make it possible to improve the material status of Polish families. “Let our economic and social programmes take us into a bright economic future. It is our duty, calling and purpose. Thank you for appreciating the Polish economy, entrepreneurs and Polish employees,” Prime Minister Morawiecki said in conclusion. Prizes were also awarded in three other categories. The title of the Company of the Year was awarded to the largest Polish bank, PKO BP. The Economic Award of the SGH Warsaw School of Economics, and a special prize of the Krynica Forum, went to the head of the Lux Med group, Anna Rulkiewicz. The Stanisław Vincenz New Culture of New Europe Award was awarded for outstanding achievements in the promotion of the culture of the region. The winner was the Hungarian literary and cultural historian Prof. Csaba György Kiss. The organiser of the Economic Forum in Krynica-Zdrój is the Institute for Eastern Studies Foundation. The main partner is the Małopolskie Province. • 9/2019 polish market




nother edition of the 60 Million Congress - Global Polonia (Polish diaspora) Summit took place at the G2A Arena in Rzeszów on August 28-30. Speakers and invited guests held debates on business, economic and cultural issues important for all Poles - both at home and abroad. The idea of the 60 million Congress is to integrate Polish business communities from around the world. What image should Poland cultivate on the international stage? How to promote Polish regions among the Polish diaspora? Why should expatriate Polish business circles invest in Poland? What is the strength of Polish innovation? Is logistics an opportunity and a vital requirement for business development? What media and organisations bring Poles together? These are just some of the questions which participants of the 60 million Congress - the Global Polonia Summit - tried to answer. Representatives of Polish communities resident in foreign countries, politicians and presidents of Polish companies of international renown, representatives of the world of science and local government bodies, and public opinion leaders, arrived at the G2A Arena Exhibition and Congress Centre near the south-eastern city of Rzeszów to talk about ways to rally Poles at home and abroad around the idea of promoting the development of business links. The congress proved to be another fruitful meeting. About 80 speakers took part in 22 panel discussions during three days of debates and meetings. A number of special events were also held. The congress, which is regarded as an important event for co-operation between Poland and the Polish diaspora, enjoyed an extensive media coverage. In the inaugural panel devoted to the promotion of Polish regions among the Polish diaspora, it was pointed out that this country must be involved internationally. The Polish economy is open to international

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cooperation, it was stressed. Panel speakers pointed out that many Polish products, such as wines from the Podkarpackie region, stand a chance of gaining recognition on foreign markets. Thanks to the 60 Million Congress initiative, international cooperation can be intensified, it was noted, especially since the Polish diaspora does not yet make a full use of what Poland has to offer. 16 panel discussions were held during the Congress. Among invited guests and speakers were Minister of Investment and Economic Development Jerzy Kwieciński, Marshal of the Podkarpackie Region Władysław Ortyl, President of Rzeszów-Jasionka Airport Adam Hamryszczak, US journalist Rita Cosby, President of the Polish American Chamber of Commerce in Florida and the Americas Leszek Ladowski, President of Fracht FWO Poland Andrzej Bułka, and Vice President of the Polish-American Chamber of Commerce North-East Sabina Klimek. The Congress was accompanied by the following events: • 60 Million Sailing Cup - Lake Solina regatta • 60 Million Golf Cup Poland tournament on the Dwa Stawy course in Trzciana near Rzeszów • A presentation of business opportunities offered to expatriate Polish businessmen by the city of Krakow, which also showcased the city as the European Capital of Gastronomic Culture. The event took place at the International Cultural Centre. • A guided tour of Krakow • "Polish brothers from the land on the Vistula River," a production by the Krakow Comedy Theatre staged on board the Batory pleasure boat moored off Wawel Castle. The next 60 Million Congress is scheduled in New York on October 3-6. •






The "Women in Business" panel discussion, organised by the “Polish Market” magazine, was held during the 60 Million Congress in Rzeszów in late August. Its participants were: Barbara Chwesiuk, President, Bialcon SA, Dorota Iwankiewicz, Strategic Director, DM2 Agency, Beata Drzazga, founder and President, BetaMed SA, Marta Półtorak, President, Marma Polskie Folie, Anna Sienko Partner, Technology Leader for CEE, PwC, and Tomasz Gulak, motivational speaker, founder of the Come Out Foundation. The panel was moderated by “Polish Market’s” Ewelina Janczylik - Foryś.

T From left: Marta Półtorak, President, Marma Polskie Folie, Anna Sienko Partner, Technology Leader for CEE, PwC, Barbara Chwesiuk, President, Bialcon SA.

From left: Beata Drzazga, founder and President, BetaMed, Tomasz Gulak, founder, Come Out Foundation, Dorota Iwankiewicz, Strategic Director, DM2 Agency.

he topic of equality between women and men in business took centre stage during the panel discussion. Anna Sieńko of PwC presented information on the Women in Work Index report, which outlines the situation of women on the labour market in 33 OECD countries. Since 2017, Poland has moved up to the No.8 spot in the ranking (up 11 places, the biggest improvement since 2000) in the area of accessibility and friendliness of the labour market for women. According to data collected by the PwC, in 2017 the gender pay gap in Poland stood at 5%. Compared to the previous edition it went down by 2%. The participants in the discussion noted, however, that too few women (35%) are employed in managerial positions. They are mostly financial directors, HR and marketing directors. Women account for just 16% of Polish CEOs. "We are still waiting for a breakthrough," said Anna Sieńko. “Some countries may not have reached a parity situation yet, but at least they introduce equal pay regulations for men and women who hold the same positions.” The participants also admitted that the stereotype of male and female occupations still lingers on. This was confirmed by Marta Półtorak, who runs Marma Polskie Folie, together with her husband. She is an electrical engineering and automation specialist by profession, and yet when she became president of the company, many were sceptical about it. Why should a woman be the boss of a company with a "typically male" profile, they asked. “Women should not be treated as special cases as employees or bosses. Of course, it's very nice to be looked after, but women are just as capable as men. Competences matter in business, whether someone is a woman or a man does not,” said Półtorak. Panel moderator, “Polish Market’s” Ewelina Janczylik-Foryś noted, however, that women are relatively less likely to trust their own skills and appear less confident than men. “A typical example are job interviews. A woman meets five out of six criteria, but is afraid to submit her resume, and a man meets three out of six criteria and he immediately says, I’ll take this job.” President Barbara Chwesiuk, who has served as a mentor on a number of occasions, agreed that women do not really believe in their abilities, and that they should be encouraged and shown the way. “After all, women are just as capable of running a business as men are. I look after six start-ups founded by women, and I can see that in most cases, the women are perfectionists,” said Chwesiuk. She also pointed out another aspect of women's participation in business. “Not all women want to make a career in business. Many women just want a quiet life. This is also the reason why there are relatively few women • in business.” 9/2019 polish market





Another stage of the "Produkt Polski” (Polish product) campaign has got underway. It is organised by the National Support Centre for Agriculture (KOWR), under the supervision of the Minister of Agriculture.

We launched this campaign in the spring with a series of TV spots. We are now turning to consumers and producers. We have prepared a series of workshops throughout the country. We invite farmers and producers to inform them about the rules of the campaign. (...) It is very important for farmers and consumers to mark their products with the 'Produkt polski' label,” Grzegorz Pięta, Managing Director of the National Support Centre for Agriculture told a news conference in Warsaw, which was also attended by Minister of Agriculture Jan Krzysztof Ardanowski, PKN Orlen President Daniel Obajtek and President of Krajowa Spólka Cukrowa (KSC) Krzysztof Kowa.


Under the provisions of the 2017 act, which is an amendment of an earlier piece of legislation on the quality of agro-food products producers enjoy the right to label market products which are made in Poland from Polish ingredients. Processed products bearing the "Produkt polski" logo are allowed to contain up to 25% of imported ingredients (spices, dried fruit, etc.) by weight, provided these are not made in Poland. “We urge Polish consumers to look for Polish products, because it is a very good choice,” said Minister Ardanowski. He also announced that Orlen Fuels (part of the Orlen Group) and Green Lab have signed a cooperation agreement to ensures diesel oil supplies to companies operated by the National Support Centre for Agriculture. “I have not yet had the opportunity to publicly thank President Daniel Obajtek for his Group’s close cooperation in the supplies of high quality fuel and products to Polish agriculture. Contracts which have recently been signed, mean that Polish farmers can purchase fuel directly, using various kinds of discounts and preferential terms. This is part of building a blood supply system for the Polish economy,” said the Minister of Agriculture.

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Left to right: Grzegorz Pięta, Managing Director, National Support Centre for Agriculture, Daniel Obajtek, President, PKN ORLEN, Jan Krzysztof Ardanowski, Minister of Agriculture, Krzysztof Kowa, President, Krajowa Spółka Cukrowa (KSC)

“The agreement between the National Support Centre for Agriculture and Orlen regarding fuel supplies for the largest Polish farms - 41 farms strategic for the Treasury which cover an area of about 100,000 hectares - is part of a broader economic development programme, which is very important for Poland.”


The presence of PKN Orlen President Daniel Obajtek at the conference devoted to the next stage of the "Produkt polski" campaign, was not accidental. The Polish fuel giant has been supporting the Polish agricultural production programme right from the start. Obajtek said that the share of Polish products at Orlen petrol stations has exceeded 85%. “We're still investing in it, because it's important to us. On the other hand, it is important that a company like ours signs contracts with farmers, producers and agri-food firms. If a firm feels secure, it is able to invest, it achieves stability,” said President Obajtek. “It is not afraid to invest, because it has the support of entities such as Orlen. I would like to thank the minister once again, because it is important that we support each other. A strong economy means strong Polish companies, and a strong

state. We give each other strength, and that’s what modern economic patriotism is all about.”


The president of Krajowa Spółka Cukrowa Krzysztof Kowa emphasised that the company cooperates with 15,000 sugar beet growers. He said that by buying Polish sugar, the consumer supports these farmers and local communities. He also criticised media reports suggesting that higher taxes should be imposed on the sales of sugar for health reasons. Instead, he proposed that an awareness campaign should be launched to persuade consumers to choose products with a lower sugar content. ”Sugar, of which there is no shortage in the West, is a scarce product in many regions of the world. If it is exported, it can even save lives,” he pointed out. Out of approximately 6,500 products listed on the website, 1,300 bear the "Produkt polski" designation. More can be expected to join the list as the campaign gathers pace. No registration is required to place the label on a product. However, producers who fail to meet criteria listed in a regulation issued by the Minister of Agriculture in 2016, can face legal action. •


WE ARE 135 years old


his year the Średzka Spółdzielnia Mleczarska “Jana” dairy cooperative is celebrating the 134th anniversary of its establishment. On October 15, the firm was featured at the Polish Economic Exhibition in Warsaw, organised by the Polish President’s Office to mark the centenary of the regaining of independence by Poland. With the assistance of the National Museum of Agriculture and Agricultural-Food Industry in Szreniawa, Średzka Spółdzielnia Mleczarska “Jana” from Środa Wielkopolska, held a workshop on Warsaw’s Piłsudskiego Square. The main purpose of the workshop was to present the traditions of dairy production and to teach the participants how to use traditional methods for manufacturing dairy products. The presentations involved methods of churning and making cottage cheese using traditional presses. “We have managed to maintain all our customs and traditions for 134 years, while introducing new methods to support the traditional technologies in use at our dairy cooperative. That is why many of our products bear the ‘Jakość Tradycja’ (Quality & Tradition) certificate. To be worthy of this mark, our products had to undergo a very long series of highly specific tests. We also needed to prove that we had been making these products for at least 50 years. Our products are known for their excellent quality and are free of preservatives, which is very important. Our cream cheese, cottage cheese and kefir products are available both in Poland and

abroad. In 2016 our exports reached 16.5% in value terms. This is a lot, particularly for a producer of fresh goods with a short shelf life that need to be refrigerated. Throughout the last 25 years almost everything has changed here except for the address of our cooperative,” said the cooperative's President. “Our products are based on raw milk coming from the Wielkopolskie region, notably from the Środa Wielkopolska and Poznań areas, which are ecologically sound, which is a guarantee of. top quality milk. In the early 1990s we took a number of effective measures to promote a professional approach to the quality of raw milk. This was connected with refrigeration directly after milking and the gradual liquidation of buying stations and production divisions. Dairies were replaced by direct collection and the majority of production was moved to the main facility, while the quality of raw milk was gradually increased to keep ahead of the competitors. As part of the measures to ensure compliance with EU requirements we have carried out a number of projects involving changes in the facility’s infrastructure, techniques and technologies and a considerable increase in production capacity. Over the last 25 years the number of suppliers has decreased, although in overall terms milk production increased to a significant degree as a result of consolidation of suppliers and higher milk yield per cow,” said Maria Czwojdrak, President of Średzka Spółdzielnia Mleczarska “Jana”. • 9/2019 polish market





f the forecasts of the industry's eco specialists prove correct, namely that the value of the Polish organic food market is to reach PLN 3 billion in 2025, then a lot will depend on innovation, especially among food processing firms. And here creative thinking brings fruit in the form of new products. An impressive range of products has been prepared by Młyn Niedźwiady. The company operates a grain mill in Niedźwiady near the city of Kalisz and is a member of the Polish Ecology Association. It is not just your run-of-the-mill flour supplier. It is run by a dedicated team full of creativity and offers a whole range of flours, cereals, fibres, plant proteins, bran, vegetable products and legumes under the Grano brand. They come in standard, eco and gluten-free

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varieties. If an innovative housekeeper wanted to have it all at hand, they would need more than one pantry. Młyn Niedźwiady keeps up with the challenges of new dietary trends, as well as with the prevailing market trends, by providing products which contain a maximum amount of nutrients. Based on the latest scientific findings, it keeps reaching for new ingredients and solutions, like for example, quinoa, and buckwheat husk, which is sold as fibre. The latter has won the Appreciate Polish Products certificate. Clinical dietitian Anna Lewitt, M.D. of the University of Warsaw knows all there is to know about buckwheat husk: "The main source of insoluble fibre are whole grains. Although fibre does not enter the bloodstream, build our body or provide energy, it is


an important component of our daily diet. It allows our digestive system to work properly by absorbing all the necessary ingredients. Fibre accelerates the removal of toxins and cleanses the body. It significantly affects the functioning of the entire digestive tract, especially the intestines. By providing breeding ground for intestinal bacteria, it improves digestion. A fibrerich diet makes you feel full and helps you control your appetite. Eating plenty of fibre helps you prevent cardiovascular disease and diabetes, lowers cholesterol levels and prevents bowel disease. It also makes your skin look fresh, gives your hair a shine, strengthens your nails and helps you lose weight. Fibre also has a huge impact on your well-being and mental condition. According to experts, each of us should eat 25 to 50 grams of fibre a day, while on average we consume just about 12-15 grams. Fibre can be found in fruit, vegetables and cereals, especially in groats and bran.” Probably that is why fibre has been included on the list of seven products classified in Poland as super foods. As you add products to your shopping list, you should follow the advice of the specialist, a clinical dietitian: "It is worth including products with a particularly high fibre content in your daily diet," says Anna Lewitt. "I recommend buckwheat fibre and buckwheat fibre with cocoa and rosehip. In addition to fibre, these products contain a lot of vitamins and minerals. There are as many as six flavonoids in buckwheat husk. They have anti-inflammatory, antioxidant, diuretic and antispasmodic properties and they seal blood vessels. Buckwheat, especially buckwheat husk, is also rich in vitamins B, PP and E, and minerals (zinc, copper, iron, manganese, potassium, phosphorus, cobalt and platinum). Buckwheat products help you fight obesity, hypertension, metabolic disorders, diabetes, and pancreatic and liver diseases. For those who value a varied

diet, I can recommend oats, spelt, beetroot and coconut fibre. Three tablespoons of fibre a day, added to individual meals, will supplement your diet without changing the taste of food. When having large amounts of fibre, remember to drink enough water. The latest fibre product on the market, which was developed by Młyn Niedźwiady in conjunction with the Institute of Agricultural and Food Biotechnology, is High Fibre Granules. These granules are an innovative new generation cereal, made from natural ingredients, and are free from preservatives, additives and dyes. They provide valuable fibre, as well as many vitamins and minerals. They are an excellent substitute for cereal, rice, flakes and pasta. They are suitable for breakfast (just pour hot milk or add yogurt and wait 10-15 minutes to soak), as well as lunch (add hot vegetable broth, soup or sauce. " Green pea EKO flour, which is rich in protein and vitamins, also deserves a permanent place in your pantry. It is high in potassium (353 mg in 100 g), maintains the acid-base balance, positively affects muscle contractility and the nervous system. Among macro‌a nd microelements, mention must be made of phosphorus (122 mg in 100g), which is good for bone mineralisation, copper and manganese. This green-coloured flour can be used to make pasta, biscuits and mushy peas, a perfect addition to meat. It will also give you plenty of ideas for your vegan diet. In tribute to oriental cuisine, there is Grano EKO chickpea (gram) flour ideal for making pasta, bread, cakes, breaded deep-fried dishes, etc. Weight watcher should try ECO red lentil flour, which is recommended for diabetics because of its low glycaemic index. Red lentils are more easily digestible than other varieties. They are said to help you control hypertension. This flour is ideal for the lovers of pasta, pancakes, • omelettes and muffins.


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ANTONIO CARVELLI, Deputy Country Manager and Board Member at the Gi Group HR agency, talks to Jerzy Mosoń about angling, which to him is a passion, just as much as business is. Are you a professional or amateur angler? I’ve been angling as an amateur lately, because here in Poland I don't have time for competitions. But in Italy I took on serious challenges, I took part in regional and national trout fly fishing competitions. At this level, it is a really difficult sport, it requires a lot of concentration and preparation. PM

What does this preparation involve? Some say that angling is boring, that you throw a float into the water and wait for hours with a beer in hand. It doesn't interest me, because it's neither sport nor hobby. It’s a waste of time. Fishing for trout means that you are all by yourself, you are so focused that you can only hear your own breath. The angler must be able to "read" the environment, watch it and interpret his observations. The trout lives in clear water. But where the water is clear, it is difficult to catch the trout, because it’s not stupid. Once, an experienced angler who competed with me at regional competitions, told me that in order to succeed, you need to look not so much at the water, but above it, and be able to read signs from the environment. Anticipate fish behaviour, watch, check out everything around you: the light (your shadow must not fall on the water because the fish can see you), the temperature, wind, atmospheric pressure and the time of day. Then, you need to look closely at the water. Trout are territorial fish, they have their burrows hidden under stones, so you need to work out where they can be. And most importantly, you can only try twice. PM

Why is that? Because when a fish notices ripples in the water, it either attacks or swims away. That’s why, you need to be well prepared to cast the bait. So you need to work out in PM

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advance where the fish can be, how it can behave. And how to throw a fly, taking the water current into account. Sometimes you can see these fish jumping out to play. Is it worth casting the bait then? Yes, when it comes to trout and carp, it is. You can't imagine how happy you feel when you interpret everything correctly, when you anticipate how the fish is going to behave, and actually manage to catch it. PM

To what extent does luck come into it? It matters a lot. Both amateurs and professionals need lots of luck. For example, I’m a very lucky guy. I recently went fishing, just to relax. My tackle was a bit inadequate for such a large fish farm pond. I knew the fish were feeding far away from shore, so I had to use a heavier weight to reach the right spot, and that made some noise. So I found myself at a disadvantage right away. But, I always remember that you’re luckier when the impact of adverse situations is reduced. So I started calibrating my tackle to reduce its shortcomings. And 15 minutes later, the fish did bite. PM

And how does angling translate into business? In my business, I need to interpret the market very quickly every day. That is, I need to be able to interpret the market segment I want to focus on. It is a mature market, we face a lot of competition, so just like with trout, I have a maximum of two attempts. When I have a meeting with a client, sometimes the first word determines success. So I need to be focused and prepared. Instead of fishing tackle, I've already prepared a solution to my client's problem. And I have to watch and interpret the situation right from the start. It’s a little easier than angling, because my success does not depend on the weather, but on how well PM

prepared I am. The client has a problem and I need to come up with a solution. To convince the client? Trying to convince the client is actually old business style, which is all about sales. Now it's not enough. The customer is aware that our help costs money, so he must be convinced that it is worth the money. I present him with some solutions, and convince him that together we can work out plan B, which he didn’t have before. And that even if I we don’t have this solution right now, we can find it. Just like in angling. You know which way the current flows, how the fish behave, you watch the weather, and so on. In business, you know how the market behaves, you watch the situation. If you have a lot of experience, it helps you. PM

Who is the fish in your business? The client or the solution? A solution that matches the situation. It's easy to find a client on today's market, but it's harder to come up with a solution for him. • PM


Profile for Polish Market

Polish Market No10 (289)/2017  

"Polish Market” is a prestigious English-language magazine published since 1996. In its pages, it promotes the Polish economy, businesses, r...

Polish Market No10 (289)/2017  

"Polish Market” is a prestigious English-language magazine published since 1996. In its pages, it promotes the Polish economy, businesses, r...