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
Commission sets out first finance proposals for Copenhagen pact on climate change.
more »
The World Bank today approved a US$39.5 million loan for the Rio de Janeiro Sustainable Rural Development Project in southeastern Brazil.
more »
The World Bank Board of Executive Directors approved today an additional US$7.8 million for the Colombia Peace and Development Project.
more »
In 2008, the total number of non-cash payments, using all types of instruments, increased by 5% to 78 billion in the EU.
more »
Current economic indicators seem to show a cautious recovery in some of the biggest European economies, such as Germany and France.
more »
Launch Early Operation Phase (LEOP) has been successfully completed and the Palapa-D communications satellite is now in the nominal geostationary orbit (GEO).
more »
The Supervisory Council of AB DnB NORD Bankas on 8 September 2009 elected Šarūnas Nedzinskas as a member of the bank‘s Management Board.
more »
In the last few months farmers across Europe have taken their tractors to the streets to protest at what is being termed the biggest milk crisis for decades.
more »
Mobile telecoms companies have pledged to support the EU’s campaign to equip new cars with a device that would automatically call for help in the event of an accident.
more »
Nordic and Baltic countries aim to strengthen cooperation of business and industry stakeholders.
more »