POLISH INFOMATION AND FOREIGN INVESTMENT AGENCY
NEWSLETTER
November 5th, 2009,
Number 147

TABLE OF CONTENTS

 

NEWS

Poland’s promotion campaign in CNN proves fruitful

CNN viewers think Poland has got rich culture, outstanding image, experiences robust development and is an attractive investment destination.


Frame from the ad promoting Poland’s economy

The Ministry of Foreign Affairs in co-operation with the Polish Information and Foreign Investment Agency, the Polish Tourist Organisation and the Ministry of Culture and National Heritage realised a promotion campaign of Poland. During the 18-month TV campaign CNN broadcast spots promoting Poland which portrayed the country as an attractive investment and tourist destination. The promotion project was joined by the biggest Polish cities - Warsaw, Cracow, Gdańsk, Łódź and Poznań.

The campaign accompanied a series of TV programmes entitled “Autumn of Change” which focused on changes which took place in Poland after 1989. The programmes comprised of everyday TV live reports and documentaries from different Polish towns and cities which were prepared by CNN's correspondents.

A survey conducted among CNN viewers in the UK, Germany and France indicates that the campaign reached the expected goal. Respondents were of the opinion that Poland: has rich culture (66% of regulr CNN viewers and 75% of those who saw Poland’s adverts), created its own specific and outstanding image (50% and 62% respectively), is one of the fastest developing countries in Europe (49% and 57%), is an attractive tourist destination (48% and 60%) and offers interesting investment opportunities (42% and 56%). The campaign has also effectively encouraged the viewers to visit Poland. 58% of those who saw the adverts declared they would be eager to come to Poland.

The campaign was not the first initiative jointly realised by institutions responsible for Poland's promotion. Last year a similar project carried out by the Ministry of Foreign Affairs, the Polish Information and Foreign Investment Agency, the Polish Tourist Organisation and LOT Polish Airlines resulted in a 12-month promotion campaign during which CNN broadcast 625 spots presenting Poland as a reliable business partner and a place offering various tourist attractions. (CNN)

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11th Wind Energy Forum

The Polish Wind Energy Association invites to the 11th edition of the Wind Energy Forum. This year’s subject is: "Energy Law vs. Directive 2009/28/EC - is the amendment to the Energy Law compatible with the new RES Directive?"

The Forum will be held on November 24th, 2009 at the Marriott hotel in Warsaw. The subject of the eleventh edition of the WEF will include an analysis of provisions of the latest version of the Energy Law and their impact on wind sector development as well as analysis of these provisions compatibility with the guidelines laid down in Directive 2009/28/EC. Participants will discuss cases of positive government actions and will attempt to define existing barriers. The aim of the conference is to search for solutions which may effectively contribute to wind power development. Poland is obligated to implement the wind solutions by provisions of Directive 2009/28/EC.

The Forum offers a possibility to meet the most important wind energy market players in Poland and to present products and services offered by companies and institutions active in the sector. During the Forum participants will receive the Poland’s “Wind Energy Report” prepared by the Polish Information and Foreign Investment Agency, TPA Horwath and the Domański, Zakrzewski, Palinka law firm.

For more information on the Forum (list of panellists, schedule and registration form) go to www.11wef.pwea.pl/en (PSEW)

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Financing schemes changes  in the 4.5 measure in the Operational Programme - Innovative Economy

In order to streamline the realisation process of investments of considerable importance to the economy the Ministry of Economy wants to increase the volume of financial support up to 30% and decrease to 150 the required number of new jobs generated by a given investment. The new regulation project was accepted by the Ministry on October 28th, 2009.

The Ministry of Economy wants to extend financial aid granted to entrepreneurs in the frame of 4.5.1. measure of the OP - IE - Support for investment of considerable importance to the economy. Entrepreneurs will now have the possibility to apply for financial support to cover only one type of costs i.e. either investment or employment costs.

Furthermore, the Ministry of Economy wants to ease rules regulating employment costs co-financing and lower the required number of new workplaces to be generated by a new investmemnt from 200 to 150. New regulations will now enable entrepreneurs creating service centres dedicated to local self-governments or other public entities (e.g. universities) to apply for funds.

The amendment will also make it possible for entrepreneurs to obtain financial aid to cover high costs of the proper commitment execution guarantee which is normally required by funds allocation agreements in cases which include financial pre-payments. The new regulations will also allow application for funds to cover costs connected with the opening and maintenance of separate bank accounts.

The Ministry forwarded the document for further ministerial consultations. (Ministry of Economy)

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INVESTMENTS IN POLAND

Weyerhaeuser to build cellulose fibers processing facility in Gdansk, Poland

Weyerhaeuser Company today announced that it intends to build a new cellulose fibers processing plant in Gdansk. City officials in Gdansk, the largest port city in Poland, announced that Weyerhaeuser had won a competitive tender process to purchase 100,000 square meters of land for this project. The land-sale agreement is expected to be completed by year end and the company plans to break ground for the 17,000-square-meter facility in the spring of 2010.

The facility will process cellulose fibers for use in hygiene products. It will employ at least 45 people upon its expected completion in 2012. The facility will be Weyerhaeuser’s first cellulose fibers manufacturing plant outside of North America.

“Weyerhaeuser is committed to investing in and carefully growing business segments that add value to its timberlands portfolio and that have demonstrated top-quartile performance in their competitive categories,” said Dan Fulton, Weyerhaeuser president and CEO. “We expect worldwide demand for cellulose-based products to increase over the long term. This new plant will enable our Cellulose Fibers business to grow with a key customer.”

Procter & Gamble will be the facility’s primary customer, and the plant will supply P&G operations in Poland and western and eastern Europe. “The plant Weyerhaeuser is building in Gdansk supports a variety of P&G strategies,” said Stassi Anastassov, vice president of Baby Care Central Eastern Europe, Middle East and Africa for Procter & Gamble. “These include encouraging local sourcing of raw materials, fostering local employment, reducing overall costs and minimizing the company’s environmental footprint by reducing logistics requirements.”

Polish government officials acknowledge the significance of the investment in a depressed global economy. “We welcome Weyerhaeuser to Poland,” said Sławomir Majman, president of the Polish Information and Foreign Investment Agency (PAIiIZ). “This is one of the most important foreign investment commitments in the country in 2009, and was supported from the very early stages by the PAIiIZ staff. We look forward to working with the company in the years ahead.”

“Weyerhaeuser’s choice of Gdansk demonstrates the city’s many strengths in serving central and eastern Europe,” said Pawel Adamowicz, mayor of Gdansk. “Our excellent location, modern logistics infrastructure, and industry investment programs are some of the many advantages.”

The Invest Gdansk Economic Development Agency (INVESTGDA) played a critical role in helping to broker the land purchase. Weyerhaeuser acknowledges and appreciates the cooperation that it has received from numerous polish officials and entities, including the city of Gdansk and mayor Pawel Adamowicz, INVESTGDA, the Pomeranian Special Economic Zone, Pomerania Development Agency and the Polish Information and Foreign Investment Agency. P&G representatives in Poland also provided critical local support and expertise. For more information visit www.paiz.gov.pl (Weyerhaeuser, PAIiIZ)

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First Chinese investor in the Łódź Special Economic Zone

Yuncheng Poland is to build a modern gravure cylinder factory in the Łódź Special Economic Zone. The plant will be constructed on an investment lot measuring over 1 ha and located in Konstantynów Łódzki (Łódź SEZ sub zone). The investment is planned to be completed by the end of 2013.

The concern Yuncheng Plate Making Group is one of the most significant suppliers of gravure cylinders to printing fields of packages used in the food and pharmaceutical sectors as well as in industrial design. The company wants to enter in co-operation with other entities from the package industry which are active in the SEZ.

Investment outlay should jointly reach PLN 17 million by 2013. By December 31st the investing company will have at least 30 people hired and declared to maintain this level of employment by the end of 2018.

Yuncheng Poland is the first investor from the area of continental China who decided to locate its factory in the Łódź Special Economic Zone. Negotiations with other entities from this economic area are in progress.

This year the Łódź-based Special Economic Zone issued 14 business activity permissions. Companies which were granted the permissions declared to make investment outlayss to the tune of PLN 500 million, to create 100 new jobs and maintaining 1000 existing workplaces. Five or six new investors are bound to start operating in the Łódź SEZ by the end of the year.

The Zone was established in 1997. At the moment the SEZ measures over 1162 ha and has 41 sub zones located in three different regions i.e. in the region of Łódź, Wielkopolska and Mazowsze. (Łódź SEZ)

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MACROECONOMIC POLAND

  • In September, for the first time since February 2009, inflation went below the upper inflation target limit defined by the Monetary Policy Council (the target line accounts for 2.5%+/-1percentage point). Average monthly wage and salary in enterprise sector in August 2009 was PLN 3283 and excluding payments from profit PLN 3280 what translates into a 0.4% increase when compared to August and a 3.3.% rise in comparison to the same period last year. (GUS)

  • The most probable option of the latest GDP prognoses for Poland indicates the annual economic growth rate should stay below 2% by the 3Q of 2010. Next quarters should see the GDP pace grow slowly. For the whole 2009 the October forecast assumes GDP growth between 1.1 and 1.5 %. (in June forecasts from -0.4% to 1.1%), in 2010 the growth is expected to hover between 0.8 and 2.8% (in June from - 0.2 to -2.5% in June). For the year 2011 prognoses indicate the GDP growth to stay between 2.2 to 4.2% (in June from 2.4 to 4.5%). (NBP)

  • Exchange rates (as of 05.11.2009):

Buy

Sell

USD

2.8384

2.8958

EUR

4.2025

4.2875


Source: www.nbp.pl

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FROM THE REGIONS

Fair for Communes, Cities and Regions “Gmina 2009”

The first edition of the Fair for Communes, Cities and Regions GMINA 2009 will take place in Poznań from November 24th to 27th, 2009. The event was initiated by the Poznań International Fair.

The Fair will be an occasion to present products and services geared towards local governments. Trade fair exhibitors will present innovations in urban architecture (pavements, street lighting, infrastructure, bus stops), landscape architecture (parks), facilities for disabled persons, for educational, cultural and sport purposes (recreational areas, sports equipment) and information technology solutions for public institutions.

The forum’s schedule includes a number of presentations and meetings offering time and space for easy experience and knowledge exchange between the private and public sector representatives. GMINA 2009 is primarily an opportunity for dialogue between professionals, as well as an inspiration for innovative ideas and solutions which should in the long run effectively streamline the workings of local self- government units.

Its offer is geared towards local governments and potential investors as there will be time for investor-oriented presentations prepared by the Wielkopolska Investor Assistance Center (COI).

The COI team prepared a series of lectures concerning the region’s investment offer. COI staff will provide information about available investment areas offered by local authorities from the region, indicate assistance opportunities to potential investors, offer consultations for representatives of local governments and help solve problems related to local government activity.

For more information visit www.gmina.mtp.pl. To read about the Wielkopolska COI go to www.sgipw.wlkp.pl. (COI Wielkopolska)

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Economic Forum in Ostrowiec Świętokrzyski

The 3rd Economic Forum in Ostrowiec Świętokrzyski will be held on November 16th, 2009. This year the meeting will focus on "The transport accessibility of the northern part of the Świętokrzyskie region”. Representatives of local authorities located in the northern part of the region will discuss issues connected with the construction of a strategic road S-42 and modernisation of the No 25 railway line which may prove decisive for their towns' development.


Project visualization of the S42 national road (Source: GDDKiA)

The Forum is though as an initiative which should consolidate works on infrastructure development which in turn should improve investment attractiveness of the northern part of the region.

Participation in the meeting was declared by, among others, the Deputy Minister of Infrastructure, Tadeusz Jarmuziewicz; Undersecretary of State in the Ministry of Economy, Rafał Baniak; chairman of the Sejm Infrastructure Commission, Stanisław Żmijan; Marshal of the Świętokrzyskie region, Adam Jakubas; Voivode of the region, Bożentyna Pałka - Koruba and presidents of Ostrowiec Świętokrzyski, Starachowice and Skarżysko - Kamienna. (Ostrowiec Świętokrzyski City Council)

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2nd metro line in Warsaw

An agreement concerning construction of the 2nd metro line in Warsaw was concluded at the Praga Północ District Office on October 28th, 2009.

- Construction of the line's central section is the biggest investment carried out by a self-government in Poland. Among projects realised in the frame of the Operational Programme Infrastructure and Environment the metro project ranked 3rd in terms of the value of allocated funds. The allocation nears PLN 3 bn. - said the Deputy Minister for Regional Development Adam Ździebło.

The central section of the line, from the Daszyński roundabout to the Wileński Train Station, will measure 6.1 km and will be divided into seven stations. The whole investment is worth PLN 4 bn. (MRR)


Słodowiec Metro Station (Source: Warsaw Metro)

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ANALYSES AND REPORTS

Temporary workers in companies’ employment strategies

Manpower Polska, an agency specialising in employment services, published a survey “Temporary workers in companies’ employment strategies”, which shows that 87% of Polish employers do not perceive temporary workers as a key element of their employment strategy.

11% of the surveyed declared that temporary employees do play an important part in their employment strategies. Among the most popular reasons which encourage Polish employers to reach for temporary workers there are: streamlining of task performance in the times of increased working activity, seasonal factors (12.5%), permanent employees’ substitution when they take a maternity or sick leave etc. (4.5%) and trying out candidates for further stable co-operation (3.5%). 79% of the respondents declared that temporary workers in their organisations undergo the same introduction process as regular steady workers.

The survey was conducted in other countries in the world. Here results show that 62% of the surveyed do not treat temporary workers as a vital factor of their employment strategy. 34% of the employers consider the group to be important for their company organisation and work. Employers worldwide tend to reach for temporary workers for the very same reasons and list them in the same order as employers in Poland and the EMEA region.

Results were prepared on the basis of individual interviews conducted between July 16th- 29th, 2009 on a representative group of 759 employers in Poland and over 41 000 employers all around the world. (Manpower Polska)

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Editorial office: Polish Information and Foreign Investment Agency, 00-585 Warsaw, Bagatela Street 12
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Polish Infomation and Foreign Investment Agency www.paiz.gov.pl