POLISH INFOMATION AND FOREIGN INVESTMENT AGENCY
NEWSLETTER
 January 29th, 2015,
 Issue 418
Why have your company invested in Poland?
What made you and your company choose Poland while investment decision making and looking for the best location and business environment for foreign development of your company?
If you are a decision maker at your company, send your testimonial to redakcja@paiz.gov.pl. Write a short, few-sentence answer to the question why have your company invested in Poland. Tell us about factors that brought you to Poland. Don’t forget to attach your photo.
Selected testimonials will soon be published on www.paiz.gov.pl.

NEWS

Africa: difficult market full of opportunities
It has been two years since establishing the governmental programme GoAfrica that supports Polish companies in their way towards Africa. On 29 January, PAIiIZ held the conference summarizing the project. The discussion also focused on how to do business in this difficult market full of opportunities.

It has been two years since establishing the governmental programme GoAfrica that supports Polish companies in their way towards Africa. On 29 January, PAIiIZ held the conference summarizing the project. The discussion also focused on how to do business in this difficult market full of opportunities.

GoAfrica programme has been created by the Ministry of Economy to support Polish companies entering African markets as well as to increase Polish - African trade. Between 2012-2014 trade of both partners went up by 25%. “Now, we see first results of our work in countries where we arranged path fining missions. For instance, the trade with Nigeria increased by 47% during last 11 months”, said PAIiIZ president Sławomir Majman.


S. Majman: “Now, we see first results of our work in countries where we arranged path fining missions. Trade with Nigeria increased by 47% during last 11 months”.

During the two years, PAIiIZ - that provides GoAfrica programme - organized 38 promotional events, including 5 business mission attended by 3,300 Polish businessmen, 7 path finding missions and 2 trade fairs. The Agency also published 8 guides on African markets.

According to deputy minister in the Ministry of Economy Andrzej Dycha, Africa is a good place for business development, however administrative and non-tariff barriers make this way much harder. ”The government is doing their best to restore historical business connections between Poland and Africa”. This year is dedicated to continuation of the programme. New missions, new governmental agreements and workshops for companies are planned”, he added.

“We are preparing a workshop with the World Bank on procurement system. This is a good channel of starting business with Africa, said deputy minister of foreign affairs Katarzyna Kacperczak. Among new business destinations in Africa she mentioned: Mozambique and Botswana. The government will also increase relation with South Africa and Angola. In Dakar, the capital city of Senegal, Polish embassy is being established.

In 2015, under GoAfrica programme governmental missions from South Africa, Mozambique and Congo are expected. Also Poland plans to arrange trade missions to Ethiopia, Tanzania, Angola and South Africa as well as the fact fining mission to Congo.

More information: www.paiz.gov.pl/20150129/africa_difficult_market_full_of_opportunities. (PAIiIZ)

Japanese investments - the true engine of Polish automotive sector
Japanese investments in Poland, Polish in Japan and the President’s of Poland Bronisław Komorowski visit to Japan planned in February were discussed on 26 January at the meeting between PAIiIZ president Sławomir Majman and president of the Japan External Trade Organization (JETRO) Hiroyuki Ishige.

“Japanese companies make Polish automotive industry growing month by month”, said president Majman. As he stressed, Japanese investors are mostly active in car parts and components production and electronics sector.


S. Majman: "Japanese companies are growing Polish automotive industry month by month"

After the economic transformation in Poland, Japanese companies were among the first foreign investors in the country. As far as the last decade of foreign investment in Poland, Japan clearly stands out into the lead in terms of number of projects provided with the participation of PAIiIZ. They hold the 2nd place. Moreover, they are “the number one” regarding the total value of invested capital in Poland. Currently, the Agency is negotiating 9 Japanese investment projects in the automotive industry, home appliances and IT sectors. Over 1,500 new jobs can be created due to them all.

More information: www.paiz.gov.pl/20150126/japanese_investments_true_engine_of_polish_automotive_sector. (PAIiIZ)

Luxury made in Poland - yachts
BOOT 2015 - world's biggest boat and water sports trade fair has just been successfully finished on 25 January. During the event held in Duesseldorf, Germany, one could also watch products presented by 15 companies from the Eastern Poland macro-region.

240,200 boating and water sports enthusiasts were gathered in Düsseldorf to view the boat premieres, new water sports gear, equipment and maritime services from 1,741 exhibitors from 57 countries spread over 17 exhibition halls. Also 15 companies from the Eastern Poland presented their offer at the venue.


Polish stand at BOOT 2015 trade fair

Two Polish stands were dominated by sailing yachts and motor boats of the region of Warmia and Mazury and Podlasie.

The presentation of companies from the macro-region attracted the attention of many visitors of BOOT 2015 trade fairs. Poland has become associated with good quality yacht production. Therefore, first orders and contracts were signed at the event.


Yachts from the Eastern Poland macro region

The mission of the representative of yachting sector from Eastern Poland was arranged by PAIiIZ under the Eastern Poland Promotion Programme.

More information: www.paiz.gov.pl/20150128/luxury_made_in_poland_yachts. (PAIiIZ)

Ministerial cooperation on vocational education
On 23 January, the agreement regarding cooperation on vocational education between the Ministry of Economy, the Ministry of National Education, the Ministry of Labour and Social Policy and the Ministry of Treasury was signed. “There is no doubt that the agreement will make the adjustment of the educational offer to the need of employers much easier”, commented minister of economy Janusz Piechociński.

At the beginning of 2015, the amended Act on Special Economic Zones (SEZ) was introduced. It obliges SEZs’ Boards to provide cooperation with schools and universities. “Those activities will support the growth of competitiveness and innovativeness of Polish economy and attract new investments”, said Mr Piechociński.


Representatives of four Ministries signing the cooperation agreement on vocational education

Programme has been jointed by Industrial Development Agency, that manages two special zones.: Europark - Mielec and Tarnobrzeg SSE Wisłosan. The zones will cooperate with local vocational schools to adjust its education programme to employment market in zones. Currently, 400 companies are active in those two zones. The total value of completed investments are estimated at the level of PLN 13m. Within both zones 50,000 people are hired.

There are 14 Special Zones in Poland. Zones are actively developing the system of dual education. About 4,000 apprenticeships have been prepared for pupils of vocational schools. SEZs are also involved in forecasting trends in specific qualifications expectation of local workforce. Moreover, under SEZs education clusters are established to integrate local business with education institutions.

More information: www.paiz.gov.pl/20150123/ministerial_cooperation_on_vocational_education. (PAIiIZ/Ministry of Economy/IDA)

INVESTMENTS IN POLAND

January: three investments completed
During January, PAIiIZ has successfully completed 3 investment projects with a total value of €29.8m that in the future can create even 1,400 new jobs. One of them is MoneyGram in Warsaw, two others represent electronic and aviation sectors.

Meanwhile, PAIiIZ portfolio has been strengthened by 4 new projects. Due to that the Agency is currently providing 162 investments worth €3,010.59m in total that can lead to the creation of 29,909 new jobs in the country.

As recently, American investors lead in terms of the biggest number of FDI. 51 American ongoing investment projects have a total value of €998.61m and can create 6,652 new jobs. The Agency also runs 22 German FDI (total value of €312.35 m; 4,013 new jobs). France with 12 investments (total value of €240.7m; 2,427 new jobs) is the next in “the big five” then there is Japan with 9 projects and Italy with 8 investments.

The automotive sector with 34 projects (total value of €652.25 m; 6,668 new jobs) took over BPO industry and is “number one” regarding the sector with the biggest number of investments supported by the Agency. The business service sector has 32 projects (total value of €28.85m; 9,210 new jobs). The third on the list is R&D sector with 19 projects (€62.44m; 1,989 new jobs). It is followed by electronics (11 projects) and aviation industries (9 projects). (PAIiIZ)

Euro-Park Mielec SEZ - summarises 2014
2014 was the best year for Euro-Park Mielec SEZ. The zone issued 42 new business permits, the declared total value of new investments reached PLN 1.36m while the expected number of new jobs is 1,521. Moreover, in 2014, the zone got bigger, now it covers 1,460 hectares of land.

Euro Park was created in 1995 as the first special economic zone in Poland. It consists of 26 sub zones. During two decades, 298 business permits were issued in the zone while the total value of all investments reached PLN 6,4 billion and almost 28,000 new jobs were created there. Aviation, automotive, metal and plastic processing industries dominate in the zone. Among the biggest investors operating in Euro-Park Mielec zone there are: Lear Corporation Poland II, Polskie Zakłady Lotnicze, KIRCHHOFF POLSKA, BURY, BORGWARNER POLAND, MTU Aero Engines Polska, DĘBICA, Zelmer Pro, BRW. (Euro-Park Mielec)

MACROECONOMIC POLAND

  • Exchange rates (as of 29.01.2015):

Buy

Sell

USD

3.7101

3.7851

EUR

4.1956

4.2804

Source: www.nbp.pl

EVENTS

Outsourcing Awards - BiznesPolska
PAIiIZ took the patronage over the third annual “CEE Shared Services and Outsourcing Awards”. The grand Gala will be held in Warsaw at the Hotel Intercontinental on 5 February.

Central and Eastern Europe (CEE) with Poland as the strongest location in the region is well know as a world-class destination for Shared Services Centres and BPO investments. Global outsourcing firms, business services projects and sector professionals will be presented with awards of acknowledgment - by an independent jury from the industry - for their contribution to the development of the business services sector in CEE for 2014.

The awards gala will be preceded by a half-day discussion panels.

More information: http://ceeoutsourcingawards.com. (BiznesPolska)

ANALYSES AND REPORTS

Poland still as an “green island” - GUS estimates
Polish Statistical Office (GUS) published data on the condition of Polish economy. GUS estimates that GDP in 2014 increased by 3.3% y/y.

This impressive increase of GDP is due to the positive impact of domestic demand, and on the other hand, of the negative impact of foreign demand. The increase of domestic demand was recorded in the industrial and construction sectors, as well as in service sector.

Central Statistical Office also made preliminary estimates regarding Polish economy in 2014 everything seems to be “green”: situation on the labour market has improved as unemployment went down. In addition, the increased of wages in the corporate sector was reported, also industrial production went up by 3.2%. (GUS/Ministry of Economy)

Poland’s goes up in the Index of Economic Freedom
Poland was ranked as 42nd among the global economies and made an eight - step progress compared to last year’s results in the Index of Economic Freedom. This is the best score the country has ever had.

Poland is 19th out of 43 countries in the Europe region regarding the index of Economic Freedom and its overall score is above the world average.

Over the past five years, Poland improved by 4.5 points. This is the biggest progress in the region. This year’s 1.6-growth in the ranking y/y has been caused by the improvements in half of the 10 economic freedoms: regarding corruption, fiscal freedom, management of government spending, and monetary freedom. Due to that, in total Poland scored 68.6 points. Also openness of the Polish market for investments was highly evaluated in the index. At the top of the World’s Index of Economic Freedom there are: Hong Kong, Singapore, New Zealand, Australia and Switzerland.

The report listing countries by the Index of Economic Freedom is published annually by The Wall Street Journal and Heritage Foundation. (www.heritage.org)

Best cities in Real Estate investment market
According to "Emerging Trends in Real Estate Europe 2015" report prepared by PwC and Urban Land, Warsaw has been ranked as the 14th best city in Europe regarding prospects in real estate investments. The research also shows that there is a growing trend of locating investments in markets affected by economic crisis. Also the popularity of cities outside the “European top list” is increasing.

The real estate market in Poland is very good, argue authors of the report. The country’s robust economy and political stability continues to attract both existing and new players, they add. Polish capital - Warsaw - with 14th place in Europe, has been described in the survey as a dominant market in the CEE region. The city saw €2.5 billion transacted in the first three quarters of 2014. It offers good opportunities because of strong population growth. International players are pre-eminent, accounting for around 90 percent of Warsaw’s real estate deals, say authors of the report.

“Emerging Trends in Real Estate Europe 2015” based on surveys with 50 key opinion leaders in Europe regarding real estate market.

Read the whole report: www.pwc.com/en_IM/IM/publications/assets/emerging-trends-in-real-estate-europe--2015.pdf.

DID YOU KNOW...?

Mouse Box - new thinking, new technology

Mouse Box computer
Polish doctoral students from the Opole University of Technology have invented a unique and innovative computer. All of its elements were put into a computer mouse. Thus, the device has been called the Mouse Box.

Mouse Box is a computer different than ever before. It combines two most important element of computer set - computer and a mouse - in a single, small unit covered in a mouse. Maximum efficiency allowing free work and keeping a small size has been achieved due to a four core processor. The best image quality is a result of using a popular micro HDMI interface. Moreover, its users stay in touch with the world thanks to Wi-Fi b/g/n technology.

Currently, Polish team is looking for support among the companies that would help finance the project.

(http://mouse-box.com)

Wristy - a cell phone of the 21st century
Innovative idea, modern look and a project made by Polish designers: Rafał Czernik and Elżbieta Jarmusz. This is what defines a newest wrist phone called “Wristy”. The device has been prepared to make the contact between members of family - especially the youngest and the oldest ones - much easier.

A cell phone that is worn on a wrist completely changes the way of communication. “Wristy” helps you to be at hand with our loved ones as only four telephone numbers can be uploaded to the device. Dialling the number is also easy - by using just one, single button. This function is very useful in case of an urgent contact with your child or when a senior person need to call the emergency. “Wristy” is lightweight and does not hinder movement. Another advantage is its low price, so the possible lost of “Wristy” will not be so painful, as in case of loosing traditional smart phone.


WRISTY

“Wristy” is supposed to be available on the market in Spring 2015. (http://wristy.com)


Editorial office: Polish Information and Foreign Investment Agency, 00-585 Warsaw, Bagatela Street 12
Information and Communication Department, tel: +48 22 334 99 49, fax: +48 22 334 99 99,
e-mail: redakcja@paiz.gov.pl
Polish Infomation and Foreign Investment Agency www.paiz.gov.pl

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