Plešivica is an oasis for lovers of traditional gastronomy and wine-making, a longtime favourite destination for many of Zagreb's residents, Plešivica is famous for its many vineyards, wineries, sparkling wines and traditional food. Several Croatian family wine stories are attracting attention even from across the Atlantic.
As Marta Duic/Poslovni Dnevnik writes on the 18th of January, 2019, the Šember Winery, located in the village of Donji Pavlovčani, is famous for its sparkling wines that have been produced in their vinery for years. Ivanka Šember, the wife of a winery owner who helps him run the family business, says their sparkling wines are produced from old varieties which grow only on Plešivica. They have an old vineyard with fifteen different old and almost forgotten varieties, to which winemaker Zdenko Šember gives his special attention. He inherited this vineyard from his late grandmother and has since turned it into a flourishing business.
This year, this Croatian family winery business also produced a variety of new wine sparkling wines, a white sparkling wine from a black pinot, a sparkling wine of the old varieties which were kept in clay pots originating from Georgia. The production of amphora wines deeply buried in the ground is an extremely old tradition over in Georgia, and today many Croatian winemakers use this method. This method of wine production makes each wine, including sparkling wine from the assortment of this winery, completely different in flavour when compared to others.
"My husband loves experiments, and some of them also get to see the market!" said Ivanka Šember. The Šember Winery is one of the few in the Republic of Croatia which manually produces its sparkling wines, each step done with their own hands and without any machines. As the Croatian family say themselves, everything has been made even easier since they obtained a new 320m cellar. In the construction of the cellar, which was co-funded through the National Wine Sector Support Program, this wine oriented Croatian family invested more than two million kuna, and their plans for this year are to further expand their vineyards by another three hectares.
"When it comes to our sparkling wines, our best sellers are rose, this year we have doubled our production, and we're currently producing 40,000 bottles. We're the first winery to have been producing sparkling wines from old Plešivica varieties, explained Ivanka Šember.
Located in the village of Lokošin Dol, the Braje Winery is known for its homemade food served with homemade wine. Robert Braje is the winemaker in this Croatian family, and his wife, Sandra, is an expert in local gastronomy and has been the chef in their restaurant for the last eight years. In this Croatian family business, their son shows interest in wine production, and Robert says that if this continues, he will soon expand his vineyards, which today already stretch to 3.5 hectares.
They purchase only a very small amount of their grapes, and from varieties that have a special emphasis on Red Waltz, an Austrian variety which is only offered by very, very few here in Croatia. As is the case with many Croatian wineries, the Braje Winery also serves numerous homemade dishes which pair well with the selection of wines that they produce and offer to their guests.
"From the very beginning, we've been doing everything business-wise as a real family. We produce 15,000 to 18,000,000 litres of wine, and a third of all that is sold right here at our very door. We also prepare meals from either our own or other locally grown vegetables, we make our own apple and pear juices. We have ducks, chickens, pigs, and a cow,'' explained Braje.
Their goal is to locally produce food and wine for their guests, in order to get them to notice and appreciate the distinct differences. "I cook and prepare everything, which is almost all made from local ingredients, we have a cow so that we can have our fresh cheese, cream and milk, eggs from our chickens, sausage and bacon from our pigs, and if we don't have enough of our own vegetables, we buy it from other producers in the neighbourhood. I make homemade bread, pasta, noodles... Our guests come either individually or in small groups, and we have many guests from the USA,'' noted Sandra Braje.
Režek Winery is yet another traditional Croatian family business that Damir Režek inherited from his father, Drago. "Our story began with my great-grandfather Roko, who had 40,000 vines, and the most famous type he had was a Portuguese variety. That Portuguese variety is the very story of my family and I'm glad that this slightly forgotten variety has now been revived, and my grandfather later brought new varieties, such as sauvignon, and was one of the largest producers in this region,'' stated Damir Režek.
The last vineyard was planted back in 2005, so now they have four hectares and about 20,000 vineyards.
Vinarija Kolarić in Hrastje Plešivičko is known for its rich homemade food, wines, and sparkling wines. Franjo Kolarić has a restaurant and since 2009 a mini hotel with sixteen rooms in which he has invested more than three million kuna. As he says, he's typically full from May to October. A warehouse for sparkling wine was built back in 1997 and Franjo is currently working on a new line of sparkling wines, in which he planning to invest 1.5 million kuna.
Thanks to the extension of the restaurant there is now seating for more than 170 people, and in addition to the sixteen rooms currently available, he plans to build an apartment this spring. In addition to all of the above, one of his plans is to build a small brewery and produce small quantities of craft beer.
Make sure to stay up to date by following our dedicated lifestyle page. If it's just wine you're interested in, give Total Croatia Wine a follow.
Click here for the original article by Marta Duic for Poslovni Dnevnik
As Poslovni Dnevnik writes on the 16th of January, 2019, Osijek's "IT park" business zone story is beginning to develop after a lot of back and forth on the issue, much to the satisfaction of interested parties. The City of Osijek and its numerous IT companies whose business results and success have put Osijek firmly on the map, are leading it to become a focus of the Croatian IT scene.
Glas Slavonije reported that its very last session last year, Osijek's City Council adopted a proposal for a decision on the establishment of the "IT Park" business zone with the aim of attracting investment and opening up new jobs in the IT sector. The value of the investment stands at a massive eighteen million kuna. In the IT park itself, which boasts a total area of 2.5 hectares, bigger companies will be able to buy plots of land for the construction of their own buildings, and the City of Osijek will deal with and construct all the necessary infrastructure and business buildings for small IT companies.
In addition to this measure, the City of Osijek has also implemented a program of incentives and breaks for the purchase of plots in this zone, which became valid after being published in the Official Gazette. Osijek's city administration has, once again, prepared a set of "different modules which contain certain measures (incentives and facilitations) aimed at attracting both domestic and foreign investors from the IT sector to long-term investments in the ''IT park'' business zone in Osijek.'' The goal of this measure is very clear, the aim is to create new jobs, reduce unemployment and ensure a high quality environment for the development and operation of the IT sector in Osijek.
Basically, companies will have the right to incentives and numerous forms of breaks if, according to the national classification law, they belong to one of the three priority groups. In the first group, there are, for example, computer programming or computer hardware and software management, in the second group lies production (electrical components, computer and peripheral equipment), in the third group comes processing and computer games.
The reduction in the price of plots of land intended for construction is 10 to 30 percent, depending on the group. If Osijek's new economic facility is built within 24 months of the conclusion of a construction contract, the land price will be reduced by as much as 40 percent. If, in the year preceding the year of the conclusion of the sales contract, a minimum of 1 million kuna is realised, the right to a price reduction of 10 percent will come into force.
Of course, the biggest reduction in the price is related to creating jobs and offering new employment possibilities. An entrepreneur who, from the moment of signing a contract on the establishment a land sale for construction maintains the existing number of employees, earns the right to a 10 percent reduction, if he or she hires up to ten workers, a 30 percent reduction follows, and if he or she hires more than 20 workers, the price reduction will stand at a massive 60 percent.
Make sure to stay up to date with everything you need to know about investment and doing business in Osijek and in Croatia as a whole by following our dedicated business page.
As Bernard Ivezic/Poslovni Dnevnik writes on the 13th of January, 2019, one of the most beautiful and well-preserved old Zagorje buildings, Bračak near Zabok, will officially become a real, ''angelic'' building at the end of January, 2019.
On the 21st of January, the first office of the the World Bank Investment Forum of Business Angels (WBAF) in the European Union will be officially inaugurated at the Bračak palace. Bračak palace, which is 130 years old, will have a new function after playing the role of both a former children's hospital and an energy centre.
Zabok's beautiful palace will be transformed into the first academy for business angels in the Republic of Croatia, which will combine education with the field of elite tourism. Baybars Altuntaş, the president of the WBAF, holds several impressive titles. He is a highly successful Turkish investor, the vice president of the European Business Angels Network (EBAN) and a senior advisor to the elite program on the London Stock Exchange, a program designed to boost investment capacity for small and medium-sized investment companies who are the first to attract the capital of business angels.
"After Croatia, as a small country of only four million people, was able to compete in the World Cup until the finals, and showed that there were ''big'' people, persistent and with big hearts, who have the type of quality needed for the work, I supported the idea of the prefect of Krapina-Zagorje County, Željko Kolar, that in Bračak, a palace boasting a rich history which, with the help of technology and knowledge turned into a very smart building, that WBAF should open its first office in the European Union there,'' stated Altuntaş.
Renata Brkić, High Commissioner for WBAF Croatia says that the first service to be offered at Zabok's Bračak palace will be the international QBAC Qualified Business Angels Certificate (QBAC). "The QBAC program has been run by the WBAF on the London Stock Exchange so far, and in cooperation with the office for Croatia, we've upgraded it with the elite tourism offer and we'll offer it as QBAC Bootcamp Croatia on the global market," said Brkić.
She stated that there is a market for 500,000 business angels for this service. "The first group will start off in May," Brkić said. Željko Kolar, Prefect of Krapina-Zagorje County and the initiator of the opening of WBAF's office in Croatia, says this project confirms the fact that the county is recognised as an open, competitive and business partner sector.
"In the first year, we want to create an entrepreneurial network of business angels not only from Croatia but also from EU countries, to educate investors according to qualified investment courses that we will prepare and identify good business opportunities that can be invested in this area," noted Kolar.
He explained that the county in which the Zabok palace is located, Krapina-Zagorje, is the holder of the WBAF license and that the entrepreneurship centre of Krapina-Zagorje County will be in charge of the operational office for Croatia. Along with Kolar, the management of WBAF's office is also the CEO of HUP (Croatian Employers' Association) Davor Majetić, the assistant director of HZMO, Dražen Mršić, the managing director of Hanfa, Petar-Pierre Matek, as well as Renata Brkić, who states that WBAF is planning to open up a number of offices around the world this year. The first was opened last year in Tanzania.
This is the second in the Republic of Croatia. More offices to follow will be based in Taiwan, Pakistan, Saudi Arabia, Macedonia, and Brazil. "WBAF, with the opening of this office, is providing Croatia with a chance to network in the world of investment,'' added Brkić.
Make sure to stay up to date with more information on doing business in Croatia by following our dedicated business page.
Click here for the original article by Bernard Ivezic for Poslovni Dnevnik
As the Croatian demographic crisis continues, many Croatian towns, cities and municipalities have suggested and enforced their own measures to encourage people not only to stay where they are, but to bring new life into the country. What better way to do that than offer cash for each newborn baby? Plitvice Lakes Municipality (Općina Plitvička Jezera) has raised its amount by 2,000 kuna.
As Poslovni Dnevnik writes on the 11th of January, 2019, the right to a one-time cash sum is realised when at least one of the parents of a newborn child has a permanent place of residence in the area of the Plitvice Lakes Municipality.
This very welcome news comes from the Plitvice Lakes Municipality itself and as Likaclub.eu writes, the amount of one-off cash sums paid directly by the Plitvice Lakes Municipality to the parents of newborn children from the area covered by that municipality has now been increased.
The amount given to new parents in the Plitvice Lakes Municipality has so far been 3,000 kuna for the first-born child, and then 500 kuna more for each child after that.
By the decision of Mayor Ante Kovač on January the 2nd, 2019, the Plitvice Lakes Municipality will now pay parents a sum of 5,000 kuna for every newborn this year, which is 2,000 kuna more than it has been so far.
The birth of the second child will see new parents receive 5,500 kuna, while for the third newborn child, the parents have the right to assistance in the amount of 6,000 kuna, or for each subsequent child born, 500 kuna more.
Make sure to stay up to date with our dedicated lifestyle and politics pages for more on the Croatian demographic crisis and the measures being put in place by towns, cities and municipalities across the country to help combat the continuing negative effects.
Investments in Croatia come in various forms, and while we tend to read about either investors running for the hills when faced with Croatia's draconian love of red tape, or investments being made in the tourism sector along the coast, large sums of cash are continually being poured into both the healthcare and the education sectors, with one county standing out from the crowd.
As Poslovni Dnevnik writes on the 10th of January, 2019, as much as 10.5 million kuna has been invested in school renovations in Koprivnica-Križevci County, the co-financing of school transport, and the largest number of scholarships have been secured so far. One of the priorities of Koprivnica-Križevci County, which was defined in the county's development strategy, is constant investment in education that continued throughout 2018.
In addition to the large amount of money having been invested in school renovations, two capital projects for energy reconstruction are due to be set up. The involved schools are primary schools in Virje and Drnje, these projects are worth as much as 9 million kuna, and both schools will achieve heating savings of a massive 70 percent. Given the fact that the aforementioned county has recognised the importance of investing in energy efficiency, new contracts have been signed for the development of major energy renewal projects in Novigrad Podravski, Ferdinandovac, Đelekovec, and Veliki Poganac.
These investments in Croatia are more than praiseworthy, and in addition to improving the overall material conditions in schools, the county is continuing to co-finance student transport and support projects for students with disabilities and special needs, offering free school meals for students from less wealthy backgrounds, and more. In addition, last year the largest number of student scholarships was awarded to date, up to 35 of them, including those awarded to medical students, which is an important contribution to the project of the promotion of vocational professions.
Despite all of the above, 2018 will most likely be remembered for investments made in the health sector, and thanks to the joint cooperation of the county, the head of Koprivnica hospital and the parliamentary representatives with the Minister of Health, a long-awaited 10 million kuna magnetic resonance (MR) device arrived at Koprivnica hospital. Other capital projects include the very welcome eight-million-kuna "POZDRAV - Improvement of Primary Health Care in Koprivnica-Križevci County" initiative.
Make sure to stay up to date with investments in Croatia and much, much more by following our dedicated lifestyle and business pages.
Investments in Croatia are growing in spite of the difficult investment climate which typically sends most would-be investors running for the hills, or just across the border to more investor-friendly climes. Ivanec, a town in continental Croatia, is due to see a rather large business investment which ties in with massive technological advancements - robotics.
As Poslovni Dnevnik/Lucija Spiljak writes on the 7th of January, 2019, this is a 1.5 million euro investment, through which BGW obtained ownrship of 10,000 square feet of land on which the construction of an industrial hall and its accompanying area is set to begin this spring. The company BGW can currently be found in a hired space in a hall in Ivanec, and the company's office space located in Varaždin has become, as company director Kristijan Danjko openly says, too small.
"The fleet that we own, as well as all of the construction equipment, is too big for the current premises we have and which we've got on lease. We selected the city of Ivanec primarily because of the benefits it provides, land prices there, documentation support, and their very approach to us as investors,'' he explained.
At the Ivanec industrial zone, the plan is to build business premises of approximately 600 square metres, and 1,000 square metres of production halls. In the second phase of this investment, as was announced Danjko, on the very same plot they plan to build yet another business facility. "A meeting with the investment and competitiveness agency was held back in October 2018, where we were introduced to the possibilities of using the state incentives we're now planning to use.
As previously mentioned, the planned investment is worth just over 1.5 million euro, and Ivanec, their location of choice, is also set to benefit from the move, as was explained by BGW. Two other companies - BGW Electronics and BGW Montaža, will also be located on the new premises. BGW Montaža was initially formed in 2013 and is involved in the installation of robots, transport belts, and more, while BGW Electronics was founded in February 2018 and deals with electrical engineering in Croatia and abroad.
At present, both companies employ about a hundred employees, and their plans are to continue on expanding. This planned investment in Ivanec, much like all other similar investments in Croatia, is likely to bring not only economic development and work positions, but a concrete demographic measure to help keep Croatia's youth within the country's borders.
Make sure to stay up to date with investments in Croatia by following our dedicated business page.
Click here for the original article by Lucija Spiljak for Poslovni Dnevnik
The police failed to determine the owner(s) of the dogs, but the witnesses said the animals were wandering around the streets of their own accord for at least one month before the event itself. The City of Sisak will now have to pay up for the damages incurred.
As VLM/Poslovni Dnevnik writes on the 3rd of January, 2019, the City of Sisak will have to pay 43,420 kuna in compensation to Sisak woman Ljubić Rendulić-Holzer, who in September 2014 fell victim to the antics of stray dogs in the centre of Sisak, in an incident in which she fell to the ground and suffered numerous injuries to her feet and head.
The City of Sisak now has to settle a little more than 11,000 kuna in court costs on top of that, as was decided upon a few days ago by a judge at the Sisak Municipal Court, Andrea Vasiljević.
Ljubica Rendulić-Holzer, who is otherwise a judge at the County Court in Sisak herself, suffered injuries while talking to a friend in the street. Not far from her, three stray dogs without any supervision or control were playing. During whatever game the dogs were playing, they collided with her, knocking her down and causing her to hit her head and hurt her foot.
Emergency services took her to hospital where medical help was provided, after which the event was reported to the police. She continued to suffer from injuries caused by the incident at the end of March 2015, and had to go through as many as 60 physical therapy sessions.
The City of Sisak stated in its defense that the dogs cannot be determined as strays, and that if they were, damages would have to be sought via Sisak's veterinary station, which, at that time, had a contract with the City of Sisak on dealing with apparently abandoned and stray animals. However, the photograph taken by the victim's wife shortly after the attack clearly shows the scene of the event, in which three dogs of medium size without collars are involved, this was confirmed by witnesses as well.
The police could not determine the owners of the dogs from the photograph taken by the victim's husband, but witnesses claim that that same pack of dogs had been wandering around freely for about a month before the incident took place.
The court therefore ordered that the payment of damages be paid by the City of Sisak because it was determined that the city itself retains the right of supervision and control of the services provided by the Sisak veterinary station, and since the dogs had been wandering around for more than a month prior to the event, it is apparent that Sisak's city officials hadn't done their job properly. Therefore, the city budget has to pay a total of 43,240 kuna to the woman for physical ailments, psychological damage, loss of earnings, and medical treatment costs.
Otherwise, problems like this caused by dogs are quite common in Croatia and in neighbouring countries, although this was not a direct attack by dogs.
Make sure to stay up to date with our dedicated news page for more.
Click here for the original article by VLM for Poslovni Dnevnik
Many places in Croatia have been making good use of EU funds, but others need time to catch up. The opportunities provided by accessing the funding has been showcased in one excellent Croatian example, Zaprešić.
As Poslovni Dnevnik writes on the 27th of December, 2018, last Friday, Zaprešić was the final host of the Regional EU Funds seminar for this year. The seminars aim to inform the public about the funding opportunities provided by EU funds by the Ministry of Regional Development and EU funds.
Zaprešić is just one example of good EU funds practice, and this is also backed up somewhat symbolically by the fact that the education seminar about the use of EU funds was held in the Vršilnica building, which was rebuilt with the very welcome help of 4,855,637.50 euro, co-financed by European structural and investment funds.
EU funds are one of the key sources of funding for urban investments and large capital projects across the Republic of Croatia, without which the City of Zaprešić simply could not have realised many projects. As explained by Mayor Zeljko Turk, in the period from 2017 until now, nearly 33 million kuna of contracted funds outside of the city budget have been spent, which have helped to deal with large capital projects, raise the overall quality of life, and accelerate the development cycle of Zaprešić in general. The fact that EU funds are a huge part of Croatia's present and future, was emphasised by the state secretary at the Ministry of Regional Development and EU funds, Velimir Žunac.
"We're the youngest member of the European Union, so we're learning, growing and maturing at the same time, and this government has made significant gains. Back in January 2017 we contracted a mere 9 percent of EU funds, and this year, we'll be at 60 percent, that speak volumes about how successful we are,'' stated Žunac.
The 2017 economy analysis shows that the most prominent economic branches in Zaprešić are trade (23 percent), followed by service activities (16 percent) and professional scientific and technical, construction and manufacturing industries, holding a total of 33 percent.
"The city is doing a lot to improve the infrastructure and conditions for its entrepreneurs, and for this purpose, funds amounting to 6 million kuna have been secured, and this is 100 percent co-financed with European Union money in the entrepreneurial zone in Pojatno, where a completely new road will be built which will attract new businesses and create new jobs,'' said the head of the Zaprešić finance and economic development department, Miljenko Šoštarić.
Satisfied entrepreneurs are the souls of the city, and just how it is to actually be an entrepreneur in Zaprešić, with his own experience of using the EU contribution, is the owner of the Mihaliček company, which employs 50 people with a turnover growth of 10 to 15 percent per year.
"We applied for the tender because the appetities within our company grew, we developed new jobs and got more people. We applied for a crane and a laser machine for installing and processing concrete, and we received 300,000 kuna in non-refundable funds, which was 55 percent of our investment,'' said Stjepan Mihaliček, stating that such a form of contribution to them was relevant because renting or buying used machinery could be at the expense of safety in the workplace.
''In order to encourage as many entrepreneurs as possible to use EU funds, entrepreneurs may submit their email addresses to receive a newsletter containing all the available information on various financing options, including funding opportunities from EU funds with the aim of developing new business ideas and boosting competitiveness on both domestic and foreign markets,'' explained Šoštarić.
Make sure to stay up to date with our business and politics pages for more information on EU funds, how Croatian companies can make use of them, and for everything going on in the political and business world in Croatia.
As Poslovni Dnevnik writes on the 23rd of December, 2018, upon presenting the most important plan for the Slavonian town of Valpovo, Mayor Matko Šutalo emphasised the fact that the record increase was the result of the joint work of the employees of Valpovo's new administration.
With just one single vote against it, the Slavonian town's council adopted the budget proposal for 2019 on Thursday, without any major objections. The amount is a welcome 124 million kuna, which is otherwise the largest amount proposed for Valpovo so far.
As previously stated, during the presentation of the most important draft plan for this continental Croatian town to date, Mayor Matko Šutalo emphasized that the record increase was the result of the joint work of the employees of the town of Valpovo's new administration, the Valpovo entrepreneurial centre and local development agencies, which, over the last year and half, had projects worth a massive 64.787.451,64 kuna.
The stated value doesn't include the value of the projects that are still waiting for the results of tenders, which amount to a further 23,401,919.59 kuna. In addition, projects in their preparation phase worth 113.7 million kuna are yet to come, and in the very creation of Valpovo's generous 2019 budget, local citizens took part in putting forward their proposals.
In accordance with the proposals put forward by the Council of HDZ, HSU and NL, two new amendments were adopted in the town's budget concerning the decrease of the price of kindergartens by 200 kuna and an increase in the amount given to parents for newborn children.
Namely, as of next year, 3000 kuna will be paid to the parents for their first born child, the birth of their second child will see a payment of 5000 kuna, and for the third, and every next child, they'll receive 7000 kuna for each. The measure intends to work as an incentive, and will be used as Valpovo's contribution to mitigate Croatia's extremely negative demographic trends, which in Valpovo and Slavonia as a whole, continue to be the most bleak.
Make sure to follow our dedicated lifestyle page for much more.
As Poslovni Dnevnik writes on the 20th of December, 2018, as a group, Orion achieves revenue of about 6 million euro and is constantly investing in security, consumer education, and further innovation. Owing to the constant investment and care of their business, Koprivnica is set to get a huge cash injection, and new work positions are set to be opened.
Poslovni Dnevnik talked with Damir Šimunic, the founder and owner of Koprivnica's Orion, about the situation and the development of the market for pyrotechnics in Croatia and the wider region, the business plans of the company, and the latest investment in Podravina.
In which countries is Orion the market leader?
As a company, we've existed for more than twenty years and the word ''leader'' carries with it a huge responsibility. If you think about where the Orion Group does business under that [title], most of it is done in neighbouring countries, Slovenia, Bosnia and Herzegovina and Serbia. In Croatia, we've established a serious business system based on the professionalism and an innovative approach with pyrotechnics, which today, primarily, is mainly in the entertainment world. Over the years, we've become the leading specialised company for producing and distributing entertainment pyrotechnics, fireworks, and stage effects. As a company, we're oriented towards the development of new products in order to meet the needs of a more demanding market.
How did you manage to break even on Western markets such as Austria or Belgium?
In Croatia, there is a fairly regulated market for pyrotechnics, because we're part of the European Community, but on the western markets the laws are very rigorous and without the required quality [standard] you can't be competitive. Foreign distributors have recognised our product quality as well as our distribution service, so we started working with Austria and Belgium over time. All our pyrotechnics have CE certificates, which is the European standard today, and a prerequisite for sales on the EU market.
Why did you decide to go into the world of pyrotechnics?
Like all kids, I liked pyrotechnics during my childhood and over time, that game turned into work. In those years, especially during the 1990s, the pyrotechnic market was not regulated and as a company we were actively involved in drafting regulations and then developing the market in accordance with those regulations. After that, from a small family business, I managed to create a serious company that employs over 120 people during the sales season and is developing new products that are successfully marketed every year.
When and how did you become the market leader in Croatia?
We started with the sale of pyrotechnics back in 1993, first as a distributor for foreign brands and then as independent importers from China. Of course, there was no serious and well-organised sales system before, because not even the legal regulations were defined, but today, our company has the most selling points in Croatia. According to the number of sales outlets, ie chains we supply, and according to the number of our seasonal sales outlets, popularly known as pyroshops, we've been a distributor since 2009 in Croatia. We've been seriously present in the region since 2006, and in 2012 we took the lead. In Croatia, we supply a total of over 4,000 sales outlets.
If you do, how do you influence the development of the local community?
Like every responsible company, we work very closely with our local community. We're sponsors and donors for many activities and events and we're involved in a large number of humanitarian, cultural, sport and social events both in Croatia and in the region. So, within our capabilities, we help local communities realise their projects.
Is the law on sales in Croatia too high? And what is it like in the rest of the EU?
The law has set rules which apply to everyone. The provisions of the law primarily protect consumers and users. In that, there will always be those who are satisfied and those who are less satisfied with the prescribed rules, but we didn't invent the rules. A major problem is in controlling and enforcing the law due to a short sale period. We have always supported the more transparent [way of doing] business, and as such, a clearer and more concrete law, because only a market of that kind can function properly.
How many sales outlets (pyroshops) do you have in Croatia and beyond?
In Croatia, we have 260 of our own pyroshops and about 100 distributors. In other countries in the region, we have several of our own pyroshops and we serve over 350 sales outlets. But as time passes and given the fact that we're introducing some modern forms of marketing into our system, the story is expanding rapidly and in three years we expect to expand on the regional market.
What are your specialty stores and your distributors' stores?
Specialised pyrotechnic shops must obtain approval from the Ministry of Interior to conduct retail sales of pyrotechnic items. The conditions for such an approval include staff training, fire prevention, security protocols, anti-burglary protection and a variety of other conditions that ensure safe storage and the safe sale of entertainment pyrotechnics. Pyrotechnics is fun, but to be able to sell them, we as distributors have to meet a number of legal and safety rules.
How much is your annual income?
Orion as a group earns about 6 million euro in revenue depending on the season and on the market conditions. Of course, as a company, it's in our interest to grow, and every year we're investing additional resources into security, the education of our consumers, as well as the innovations that are indispensable if we want to keep up with modern world trends.
How do your sales go outside of the main season?
Out of the main sales season, that is, from January to November, a smaller part of the range is sold. Mostly specialised [items] for purposes such as naval pyrotechnics and rescue pyrotechnics. There are, of course, party pyrotechnics (confetti, cake fountains, sprays etc.), professional pyrotechnics and special effects that are always sought throughout the year, especially for some festivals, concerts and the like. We also produce a great number of fireworks and stage effects during the tourist season, and there are more and more wedding pyrotechnics which are always attractive.
What innovations in pyrotechnics are you introducing?
We're constantly working on the development and improvement of the safety-technical properties of pyrotechnics so that we can make our customers as safe as possible. We have two recognised patents. A more secure rocket system, a worldwide-recognised patent, followed by a patented security system for firecrackers and innovation called PyroBlock. Pyroblock is the latest technology for box fireworks that we have launched on the market. Now our fireworks are even better and even safer, so that users can enjoy their luxurious effects and our spectacular fireworks.
What are the trends in sales that today's customers look for the most?
As information and education grows alongside the fans of entertainment pyrotechnics, consumer trends and tastes are changing. Once upon a time, firecrackers made up 80 percent of sales, while today they account for less than 40 percent, and consumers are increasingly using our fireworks, rockets, fountains and Roman candles. Naturally, firecrackers will always be popular, but the trends are changing, and interesting new items are always expected from us as the market leaders.
How are you approaching the younger generation - events, collaboration with YouTubers and influencers?
We use all permitted channels for communication with our consumers. Today, we live in the digital age, so we've adapted to this trend which will soon become our strongest communication medium with the youth. Currently, social networking is in fashion, YouTubers and influencers closely monitor what's happening in this product segment. What is in and what is not in is created today by the media of the younger generation who capture everything on their vlogs and videos. Through these channels, we primarily want to act educationally and affirmatively to give the younger generation better quality information with an emphasis placed on security and regulation. Education through entertainment has always been effective, it is today just as it was before. Some things never change.
What are your business plans for the future?
The list of plans is time-consuming and is solely related to the development and production of safer and more quality products. We're an entertainment industry and our goal is to have safe entertainment successfully implemented. This is possible only by investing constantly in infrastructure, technology, equipment, and our expert associates. For this reason, we're able to announce the construction and expansion of the regional distributive centre in Koprivnica, and thus create a new need for workers. The planned value of investment in the distribution center and storage systems amounts to 1.5 million euro, and it will be the future of pyrotechnics in Croatia and in the region. This business policy has provided us with a leading position in the region as consumers have recognised our work and the effort that we invest into our products.
Mišel Jakšić, the mayor of Koprivnica stated that he welcomes every good entrepreneurial idea and investment, and expressed his desire to encourage young people to stay in the city.
"As the Mayor of Koprivnica, I'm proud of the economy of this city that we're increasingly developing every day. The business zones which are expanding, and the entrepreneurial incubator, where more and more young people are ready to start their own businesses, is our vision and desire to provide a decent life for young people The cooperation with Orion as the leader of the fun-pyrotechnic market is exceptional, and every year Orion sponsors our events as a responsible company in the local community. As Mayor of Koprivnica, I will always support all the important, however big or small entrepreneurial endeavors so that our young people remain here in Koprivnica, and so that employment gets as high as possible,'' the mayor concluded.
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