Newsletter. Trade Mission to Poland of the Egyptian-Polish Businessmen Association, joined the annual Trade Mission to Poland.
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1 Newsletter No. EPBA 07/2014 Trade Mission to Poland 2014 During the period from 12th 16 th May, members of the Egyptian Polish Businessmen Association joined the annual Trade Mission to Poland. This year s event is the 18 th Trade Mission in a row, and the aim is to tighten and strengthen the business relations between Egypt and Poland. Representatives of 17 Egyptian companies met their Polish counterparts in seminars and meetings organized by the Egyptian Polish Businessmen Association in coordination with the Polish Chamber of Commerce and the Employers of Poland. Meetings at the Polish Chamber of Commerce were inaugurated by H.E. Reda Bebars, Ambassador of Egypt to Poland together with the President of the Egyptian-Polish Businessmen Association, Mr. Medhat El Kaissy. Both H.E. the Ambassador and the President highlighted on the successful cooperation between entrepreneurs in the two countries. The cooperation is based on annual meeting which takes the formula of Economic Forum between two countries, which was initiated by signing a Memorandum of Cooperation between the PCC and the EPBA on 28 th of May They have also hinted on the continuous interest of Polish entities in investing in the Egyptian market, especially the fields of tourism, trade, construction, science, exploration and production of crude oil and natural cold, modernization and expansion of railway infrastructure and maritime transport. On the other side there were B2B talks.i.e. the Egyptian delegation met Polish companies representing various fields of business activity, mainly: Importers and exporters of fruits and vegetables Producers of gardening tools and fertilizers Gas and petrol contractors Coal producers Cosmetics producers Machinery producers Aviation and logistics services providers The Egyptian and Polish sides are expecting the trade volume to boost remarkably between the two countries and that is by constant exchange information between EPBA, the Employers of Poland, Polish Chamber of Commerce and Polish Business Centre Club which considering that they will focus on market research to create business opportunities for both sides.
2 News Promoting food consumption in Poland A number of public awareness campaigns are under way to promote the consumption of fruit and vegetables and help shape healthy eating habits in Poland. According to the Institute of Agricultural and Food Economics, the average Pole consumes just over 40 kg of fruit and fruit products annually and less than 60 kg of vegetables and vegetable products, not including potatoes. And this means that fruit and vegetable consumption in Poland is falling. In 2002, the figures were 48.8 kg and 64.5 kg respectively. Among different varieties of fruit, tree fruit is the most popular in Poland, especially apples, with consumption at 15 kg per person a year. But 10 years ago consumption was almost 10 kg more. Poland attracts foreign investors Foreign investors continue to regard Poland as the most attractive destination for new projects in Central and Eastern Europe, according to the 2014 European Attractiveness survey by consulting firm EY. In this year s survey, 31 percent of decision makers from multinational companies surveyed by EY listed Poland as the most attractive destination for foreign direct investment in the region. Poland scored 20 percentage points more than the runner-up, the Czech Republic, which was mentioned by 11 percent of respondents. Romania was third, and Hungary, Ukraine and Turkey were further down the list. In addition, Poland defended its third place in Europe in terms of the number of jobs created through foreign direct investment last year, according to EY data. Poland has for years been attracting investors with its economic and political stability, the size of its domestic market and geographical location. This year we also noticed that Poland is the clear leader in the region in terms of research and development (R&D) projects, mainly due to investment in the information technology (IT) sector. This means that investors have come to appreciate our highly educated staff. Once again, it is clear that these high ratings for Poland bring us definitely closer to the level of confidence that investors have in Western European countries. According to the survey, in 2013 Poland attracted 107 new investment projects, ranking 10th in Europe in this respect. In terms of new job creation, Poland remained in third place in Europe, behind Britain and France. In total, 13,862 new jobs were created in Poland in 2013 thanks to foreign direct investment, 6 percent more than a year earlier. Notably, at a time when investors were undertaking laborintensive projects in Poland, the number of new jobs created in Europe as a whole due to foreign direct investment fell by 2 percent, EY said. Tourism in Egypt drops down Tourism rates continue to drop in Egypt though many European countries have lifted travel bans as relative stability returns. Tourists visiting Egypt in June declined 20.5 percent compared to the same period the year prior, according to the latest report by the Ministry of Tourism. A total of 785,652 foreign tourists spent 6.8 million nights in Egypt during June compared to 988,573 spending almost eight million nights a year earlier. The report also showed that the first half of 2014 brought 4.4 million tourists to Egypt, a 25 percent drop from the same period the previous year. From January to June, most tourists came from Europe, with 3.4 million Europeans spending 32 million nights in Egypt. The Middle East was the second biggest region for tourists to Egypt, with almost 570,000 visitors from the region, representing a 42.5 percent drop from the same period the previous year. Middle East tourists account for 7.7 million nights in the first half of The tourism sector, which accounts for roughly nine percent of GDP, has received several blows since a popular uprising forced president Hosni Mubarak to step down in Prolonged periods of unrest and sporadic violence have led many countries to warn their citizens against travelling to Egypt. Nonetheless, several countries have recently lifted travel warnings on Egypt's South Sinai resorts following the relative stabilisation brought to the security situation in the area, revealed Minister of Tourism Hisham Zaazou earlier this month.
3 Polish Egyptian Cooperation Egyptian Polish Trade Balance in 2013 Legal framework of economic cooperation: a) the Association Agreement EU - Egypt, came into force in the commercial part on , and completely on ; b) bilateral agreements: Mutual promotion and protection of investments (signed in Cairo in 1995, came into force in 1998) The avoidance of double taxation (Warsaw 1996, came into force 2001) Cooperation in the field of tourism (Cairo, 2011, came into force in 2011) Cooperation in the field of science and technology (Cairo, 2000, came into force in 2001) the establishment of scheduled air transport (1956) on maritime transport (1977). The largest items of value in Polish exports in 2013 were: means of transport (mainly vehicles for the passenger transportation) - $ 53 million, 19% share in Polish exports to Egypt; mechanical and electrical equipment (primarily pumps, dishwashers, lamps and bulbs, bearings, washing machines, electrodes) - $ 44 million, the share of 16%; products of plant origin (wheat, frozen vegetables) - $ 35 million, the share of 13%; articles of base metal (razor blade profiles, angles) - $ 33 million, the share of 12%; products of chemical industry (drugs, nitrogen compounds, cosmetic preparations, perfumes) - $ 29 million, the share of 11%; paper and cardboard - $ 19 million, the share of 7%; products of animal origin (mainly cheese and curd, milk powder) - $ 17 million, 6% share; Leading Polish exporters to Egyptian market: General Motors Poland, Glencore Ltd (metal products, raw materials), Mondi SA, Bel Poland, Polchar Sp. (metals), Glaxosmithkline SA, Avon, Siemens, Philips Lighting SA; The Polish import from Egypt in 2013 was dominated by: textiles (clothes, carpets, cotton yarn) - $ 31 million, 29% share in Polish imports; plastics (plates, foils, etc., polymers of ethylene) - $ 22 million, the share of 20%; mineral products (mainly calcium phosphates) - $ 21 million, the share of 19%; products of plant origin (dried vegetables, plants for perfumery and pharmacy, citrus fruits) - $ 13 million, the share of 12%; mechanical and electrical equipment (wires, cables, reception apparatus for TV) - $ 6 million, the share of 6%. Largest importers to Polish :market ZCh Police SA, Krakchemia SA, Brenntag Sp. with o.o. Ltd. "CDM" Sp. with o.o. Big Star Sp. with o.o. DS. Smith Poland SA, Tesco Sp. with o.o. Multi-Decor Sp. with o.o. Samsung Electronics Sp. with o.o. Primacy Sp. with o.o. mln USD * Change [%] 2012=100 Turnover 321,1 283,6 297,5 339,1 384,8 113,5 Export 275,6 233,3 195,8 203,2 275,9 135,8 Import 45,6 50,3 101,7 135,9 108,9 80,1 Saldo 230,0 182,9 94,1 67,3 167,0 Polish furniture expands Poland is now the fourthlargest exporter of furniture in Europe and the seventh largest in the world. In 2013, $9.4 billion of Polish furniture headed abroad, while that figure is expected to hit $10 billion this year, according to B+R Studio, a sector analyst. Which firms are leading the way? B i g g e s t w i n n e r s Companies like Black Red White, Forte, Nowy Styl, Fabryka Mebli, Meble Wójcik and Szynaka are among the biggest players and exporters on the scene. Their competitive advantage is their quality to price ratio, flexible delivery capabilities and payment arrangements, said B+R s T o m a s z W i k t o r s k i. Another advantage Polish furniture companies have is that their production capacity is unequalled anywhere in Western Europe. When it comes to sheer volume, Poland is second only to China in terms of furniture production. It produces some 3 million metric tons of furniture every year compared to the 2 million tons German or Italian firms manufacture.
4 The EPBA news EPBA meeting with Mr. Jacek Buda, Head of Economic Section of Polish Embassy in Cairo On 25th of June 2014 EPBA held a meeting with honorary guest, Mr. Jacek Buda, newly appointed Head of Economic Section of the Embassy of Poland in Cairo. Participants of the meeting discussed current trade exchange between Egypt and Poland and the possibilities of increasing the trade balance between the two countries. They mentioned also the obstacles that hinder the Egyptian Polish business cooperation and possible ways to overcome them. Mr. Buda, Mr. El Kaissy, the president of Egyptian Polish Businessmen association and all the members expressed their optimism for fostering the investment and trade exchange. One of the highlighted issues was the need to market Polish companies in Egypt and to convey to Polish partners the right image of situation in Egypt. Mr. Buda, who has recently attended a meeting of the economic advisers in the European Union recommended careful study of the European funds which may support the Egyptian Investors and assured sparing no efforts Mr. El Kaissy has presented the framework of cooperation focusing on business delegations representing particular fields requested by both countries. The coming business meeting of Egyptian and Polish companies is planned to be held in cooperation with Polish Chamber of Commerce in the beginning of next year in Cairo. New members Mr. Khalafallah Gaballah El Ghaly Trade Business opportunities AQUAFOR Aquafor is a market leader in the production of organic preparations for septic tanks, sewage treatment plants and preparations for print plumbing. This company offers a wide range of effective, efficient and modern preparations intended to improve sanitary conditions - hygiene within the household. PLASTWIL IS A DYNAMICALLY DEVELOPING FAY- PLASTWIL Manufacturer of plastic elements and metalworking for the railway sector and other branches of industry.
5 POLAND Trade Fair Poland Poznan Fashion Fair Furnica Furniture Fair Metal Fair Polagra Poznan International Fair Dear Members, If you have any ideas or suggestions for EPBA activities, please feel free to contact us:
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