For several years the position of Polish exporters on the markets of the former Commonwealth of Independent States has been clearly weakening
Published:
5 May 2003 y., Monday
In order to spur on trade, presentations of Polish exporters are gaining popularity. One such presentation is the Polish National Exhibition in St. Petersburg.
Geographic proximity, relatively small competition from local manufacturers who are not capable of satisfying the growing demand for modern products and, contrary to common belief, the increasingly wealthy and demanding customer, are the advantages of the "eastern market." Why then does trade with the countries of the Commonwealth of Independent States (CIS) constitute as little as 7.1 percent of the global value of Polish export?
The position of Polish companies is weakened by competition from the Western businesses that are perfectly aware of the perspectives which an active and strategically planned entry into Eastern markets can accomplish. Entrepreneurs from Germany, France and the United States, supported by the appropriate funds, first promote and then successfully sell their products in Russia and Ukraine or make direct investments there.
The decrease in the amount of Polish agriculture and food products exported to Eastern markets has stemmed from the fact that big international concerns such as Nestlé, Danone or Unilever directly entered this strategic area. However, the issue of Western competition is only a part of the answer to this question and the possibility of development for Polish exporters on the markets in the former Soviet Union.
One of the most serious difficulties Polish companies encounter is a considerable risk connected with signing commercial contacts with partners from the East who frequently appear to be insolvent and do not honor their contracts. According to Robert Stawski from the Promotion Chamber of the Polish Chamber of Commerce, businesspeople from Russia frequently do not understand the term "advance payment" and sometimes want to pay for the products only after they sell them. For obvious reasons, these terms are hard to accept for Polish manufacturers, which are mostly small and medium-sized companies. The state does not guarantee any protection for companies against situations in which partners from Russia, Belarus or Ukraine do not fulfill the terms of a commercial contract.
Šaltinis:
warsawvoice.pl
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
The EBRD is increasing the availability of financing to the real economy in Hungary, with a €50 million credit line to CIB Bank, including at least €10 million equivalent denominated in Hungarian Forint.
more »
At the end of March 2010, AB Bank SNORAS deposit portfolio exceeded LTL 5 billion, of which over LTL 3 billion are household deposits.
more »
In affirmation of Vietnam’s remarkable progress towards Middle Income Country status, the World Bank Board of Directors today approved a second loan for Vietnam from the International Bank of Reconstruction and Development (IBRD).
more »
The World Bank today approved a EUR26 million loan to the Republic of Croatia aimed at further improving the efficiency of Croatia’s justice system − a necessary process in Croatia’s path towards successful European Union accession.
more »
The ACP-EU Joint Parliamentary Assembly asked the European Commission to help EU and ACP banana producers adapt to the new EU-Latin America trade agreement, which is expected to put an end to fifteen years of “banana wars” between the two continents, but has raised concerns for the livelihood of some regions' producers.
more »
As seventeen of Africa’s 53 nations celebrate 50 years of independence in 2010, Africa’s “golden moment has come” and investors around the globe must look to the continent often painted only as risk-prone if they are to capitalize on business opportunities.
more »
During the ordinary general shareholders’ meeting of AB Bank SNORAS, which took place on 31st March 2010, the bank’s profit distribution was approved.
more »
The EU is the world's largest economy, with enough international clout to return to "real capitalism" rather than resign itself to an alien "financial capitalism", concluded MEPs and experts at a public hearing held on Thursday by Parliament's special committee on the crisis.
more »
Food quality and labelling are likely to be key issues when the Common Agriculture Policy is overhauled in the coming years.
more »
The European Investment Bank (EIB) is lending EUR 250 million to Russian company Enel OGK-5 to finance the upgrading of a gas fired power plant located in Nevinnomyssk, South Russia.
more »