|POLISH INFOMATION AND FOREIGN INVESTMENT AGENCY|
February 20th, 2014,
Exports - engine of the Polish economy
Is Poland's export model effective? How do EU-US bilateral agreements impact on Polish foreign trade? Are Polish companies benefiting from the business opportunities in the emerging markets like Africa? These questions were discussed at the Changing Polish Industry Forum by representatives of Polish government, institutions and business. PAIiIZ board member, Monika Piątkowska, took part in the meeting.
Results of Polish exports in 2013 are very impressive. According to National Bank of Poland, the value of exports in December 2013 grow by 10,6% year on year, when imports increased only by 1,7% year on year. Analysts expect that Polish exports should continue to grow by 8-10% every year by 2020. However, during the forum, panellists agreed that not only exports but also investments and domestic demand, will be the main driving forces of the Polish economy in the coming years.
Katarzyna Kacperczyk, under-secretary of state in the Ministry of Foreign Affairs, stressed the growing importance of Polish entrepreneurs investing in markets outside Europe. She also said that there's a need to create a comprehensive system of financial support for Polish investments and exports. Polish companies enter new markets with increasing confidence as they implement new technologies and as their managers gain in experience. Attractive prices combined with the high quality of their products or services are a strong advantage for Polish companies that open doors for them to many countries. The Changing Polish Industry Forum, arranged by the PTWP Group, was held on 17 February.
More information: www.paiz.gov.pl/20140217/exports_engine_of_polish_economy. (PAIiIZ)
INVESTMENTS IN POLAND
Next investments on PAIiIZ list
Two projects - from the US and Sweden have been completed with PAIiIZ's help. Currently, the Agency is supporting 166 inward investment projects worth €3.2 billion which in the future can create over 31,000 new jobs.
The majority of projects supported by the Agency come from the US. Currently, there are 48 US projects worth €931 that in the future can create 7,500 new jobs. Germany, with 28 investment projects worth €583m and the ability of create 6,500 new jobs, are the second on the list. Third place is held by Japanese investors who run 12 projects worth €117m and in the future can create 2,000 new jobs. The list of leaders also consist of investors from the UK (11 projects), China and France (nine projects from each country), South Korea (seven projects) and Sweden (six projects).
BPO is still the most popular sector among investments supported by PAIiIZ (39 projects worth more than €30m; 8,410 new jobs). Other sectors of interest to investors include automotive (34 projects), R&D (14 projects) and aviation (10 projects). (PAIiIZ)
Famur with Indonesian contract
The Polish company Famur signed a contract to supply mining equipment to Indonesia on 30 January. The value of the contract is around $12.9 m.
Famur will design and deliver a complex coal-handling system to Indonesian company, PT Pesona Khatulistiwa Nusantara. The Polish company will also supervise the installation and commissioning of the system as well as training the personnel.
Famur is a producer and supplier of advanced machinery for the Polish and global mining industry. After reaching a leading position in Poland, the company plans to create a strong position in global markets. (Famur)
New jobs in Euro-Park Mielec
Euro-Park Mielec has issue the third permit to conduct business this year. It was received by foil producer, Effect Plus.
The investor will purchase comprehensively equipped production lines to manufacture innovative stretch foil. The total value of investment reaches PLN 35m. Additionally, the company plans to hire eight new employees and to maintain 40 already existing jobs.
This is the third permit issued by Głogłów Subzone to investors in just one month. The total value of all investments has been estimated at the level of PLN 60m; 37 new jobs will be created thanks to new investors. (ARP)
New investments in Zator Economic Activity Zone
Two companies - Plastmot and Suneko - will invest in ZEAZ. Together, both investors plan to spend nearly PLN 10m.
Plastmot specialises in manufacturing of plastic components for automotive, horticulture, electronics and household sectors that are exported to Germany, France, Spain, China, US and Mexico. Components made by Plastmot for the automotive sector will be used by such brands as BMW, Mercedes-Benz, Fiat, Peugeot, Porsche, Renault and Rolls-Royce. The investor intends to create eight new jobs.
Suneko produces intermediate metal parts for automotive manufacturers. The business will create 10 new jobs. (Zator EAZ)
Business Mission to Turkey
The Ministry of Economy, Polish Chamber of Commerce and PAIiIZ in cooperation with the Polish-Turkish Chamber of Commerce, Deloitte and Dentons invite Polish companies to participate in the Polish-Turkish Business Forum in Istanbul. The event will take place on 6 March.
The Business Forum in Istanbul is one of the highlights of Polish president Bronisław Komorowski's official visit to Turkey on 5-6 March. The event will be attended by government officials and entrepreneurs from both countries.
Registration of companies interested in taking part in the event by e-mail: firstname.lastname@example.org until 24 February.
More information will be given during the registration. The organisers do not cover the costs of accommodation in Turkey. (ME/PAIiIZ)
Investment climate in Poland
The results of the Investment Climate in Poland survey as well as the outcomes of the report on services provided by PAIiIZ will be presented on 3 March at the conference in PAIiIZ.
During the event, representatives of bilateral chambers and foreign investors will look at the position of Poland as an attractive destination for capital investment. They will also discuss the investment incentives offered in Poland in attracting foreign investors.
Polish-English translation will be provided. The registration is available until 9:00 on 3 March online at www.paiz.gov.pl/klimat2014. (PAIiIZ)
ANALYSES AND REPORTS
Cities and regions of the future
In the latest FDI Intelligence ranking of the best European cities and regions for foreign investments, Poland has been ranked as one of the leaders.
European Cities and Regions of the Future 2014/15 is published by fDI Intelligence, a division of FT. The report highlights the best places in Europe for foreign direct investments in such categories as: Cost Efficiency, Business Friendliness and FDI Strategy.
All European countries were grouped into four regions (Eastern, where Poland was classified, Western, Northern and Southern Europe) and in terms of the size of cities and regions.
Among the Eastern region's Top 10 destinations for FDI were three Polish cities: Wrocław in 2nd place, Katowice in 3rd and Poznań in 7th. In the FDI Strategy in Eastern Europe category, more than half of the Top 10 cities are in Poland: Katowice (1), Wroclaw (2), Poznan (3), Łódź (5), Lublin (8) and Kraków (10). In addition, Katowice, Wrocław and Poznań were listed among the FDI’s best cities in the whole of Europe (respectively 2nd, 7th and 10th position).
Among the Top 10 major cities in Europe in terms of business friendliness, Warsaw took 6th place in the list of all the major cities of the continent. Wrocław obtained the same position in the large cities category. Wrocław and Katowice were also listed in the general ranking, presenting the most attractive large cities in Europe (8th and 9th place respectively).
In the Top 10 regions of Eastern Europe, Poland is represented by: Małopolska (5th), Śląsk (6th), Wielkopolska (8th) and Mazowsze (10th). Polish regions have also dominated the ranking of the best FDI regional strategy in Eastern Europe: Małopolska took second place, Opole fifth place, Śląsk sixth place, Wielkopolska seventh place and Ząbkowice Śląskie eighth position. In the Top 10 across Europe, Poland is represented by Śląsk in sixth place in the large regions category. Moreover, Małopolska is 10th in medium-sized regions the category. The ranking was based on an analysis of 468 European locations.
More information: www.paiz.gov.pl/20140217/cities_and_regions_of_the_future. (FDI Intelligence/PAIiIZ)
GDP goes up
According to preliminary estimates of Eurostat, GDP in the eurozone rose in the fourth quarter of 2013 by 0.3%, and by 0.4% across the whole EU compared to the third quarter.
In the fourth quarter, seasonally adjusted GDP increased by 0.5% in the eurozone and by 1% across the EU year-on-year, after falling by 0.3% in the euro zone and an increase of 0.2% in EU27 the third quarter of 2013.
According to Eurostat, GDP of Poland reached 2.2% in the fourth quarter year-on-year and increased by 0.6% compared to the third quarter of 2013. GDP growth in the EU may influence Polish exports, which is focused mainly on EU markets.
In addition, Fitch has increased its economic forecast for Polish GDP growth to 3% in 2014. Earlier forecasts were marked at the level of 2.4%. (Eurostat / Fitch)
Industrial production in Poland
Industrial production continues to grow in January. The latest GUS report shows that Polish industrial production grew in January 2014 by 4.1% year on year.
A significant increase of industrial production was observed in the furniture industry (16.2%), and 'other non-metal' sector (14.4%). A decrease was observed in the mining of coal and lignite (7.5%). In January 2014, construction firms decreased production by 3.9% compared to the same period last year. (CSO/Ministry of Economy)
Wages increasing in Poland
According to GUS (Poland's central statistical office), the average salary in January was 3.4% higher than a year ago.
At the beginning of 2014, the average salary in companies that employ more than nine people (excluding public sector) reached PLN 3,805.28.
Throughout the whole of 2013, the average wage increased by 2.9% compared with 2012. (CSO)
2030 - Global trends of states, regions and cities
KPMG in cooperation with the University of Toronto's Mowat Center, prepared a report entitled Future State 2030: The global megatrends shaping governments, which presents global challenges that will significantly impact the future development of the global economy, states, regions and cities.
The report distinguished nine so called “megatrends”. As far as the demography, higher life expectancy and falling birth rates are increasing the proportion of elderly people challenging the welfare system. IT technologies are expected to transform the society during the next 15 years. Due to social policy and the education system, the position of the individual has never been so strong in the history. It will allow the world to enter a “new era of human history” - the rise of a middle class. By 2022 there will be more middle class people than poor people globally.
During the next 15 years, the economic interconnectedness will more strongly impact on international trade and capital flow. Moreover, public debt is expected to be a significant constraint on fiscal and policy options. Experts also predict the rise of emerging economies that will more strongly shape the global economy. The climate is supposed to be changing, resources are shrinking and the pace of urbanisation is accelerating faster than before. (KPMG)
DID YOU KNOW...?
Polish skis conquer the world
Unique, handmade skis tailored to individual consumers' requirements are manufactured in Piaseczno near Warsaw by Monck Custom.
Monck Custom skis differ from the majority of skis as they are handmade of wood. Every pair of skis is crafted in a complex process that last over 50 days. The idea of Monck Custom was born thanks to the love for mountains and skiing. That is why each pair of skis is a combination of amazing design and exceptional attention to detail. Skis are made in a "sandwich" technique from various kinds of wood and components. The core is made of spruce, sides are bamboo, slides from polyethylene and edges of metal. In addition, every client can participate in the design process by ordering skis with own name or buying a unique, customised pair. Monck Custom also offers skis matching to weight of a customer or conditions to a particular slope. (poland.gov.pl / Monck Custom)
Information and Communication Department, tel: +48 22 334 99 49, fax: +48 22 334 99 99,