May the 29th, 2023 - The Kali - Return to Tradition from Medveja won the most votes of the expert jury and won the flattering title of the best Croatian product in 2022 for its delicious Kali balsamic fig vinegar.

Kraš’s Dorina and Argeta from the Atlantic Group portfolio might well have also it to the finals, but Kali balsamic fig vinegar took the prize home for this great achievemen, which is absolutely fantastic news for small domestic producers.

Kali Medveja – Return to Tradition deals with the production of food delicacies based on traditional recipes. “In David's fight with Goliath, Kali - Return to tradition with Kraš’s Dorina and Atlantic’s Argeta, we opened the door for all small producer families to turn their dreams into reality,” said Ante Bistre, Kali’s owner.

The golden basket for the best retailer in 2022 was won by Konzum and Studenac, the company Cromaris is the manufacturer of the year, and the best small retailer is Kredenca from Zagreb, the Ja Trgovac portal reported on Friday. The Golden Basket, an annual award for the best achievements in retail and the consumer goods industry, was awarded by the magazine and portal Ja Trgovac.

All categories of awards, as stated in the press release from the award ceremony, relate to achievements in the business year 2022. The winners were chosen by an expert jury made up of members from the market research agencies NIQ, GfK, Ipsos, Hendal, Focus and Valicon, the Deloitte consulting firm, the Zagreb Institute of Economics, the University of Zagreb Faculty of Economics, sector institutions (HGK, HUP, HOK), Croatia association for consumer protection, Trade Union of Croatia and Ja Trgovac magazine.

 Photos: Kali Medveja & Golden Basket

For more, check out our Made in Croatia section.

April the 13th, 2023 - The impressive Croatian ReversingLabs software company is aiming for the very prestigious unicorn status with its brand new product. It seems they have a very good chance of success.

As Poslovni Dnevnik/Josipa Ban writes, during these times when we do just about everything via the Internet - we communicate, pay for things, shop, work, study, and even count our steps using the web - the security of our data and software has never been more important, and it's also never been less secure.

''There are countless channels for attack, from messages, emails, links and documents we open, to the basic pages we browse. The methods these hackers and attacks use are constantly developing and improving,'' Igor Lasic, senior vice president for technology of the Croatian ReversingLabs software company explained. ReversingLabs otherwise specialises precisely in cyber security, and Lasic continued by noting that artificial intelligence (AI) will be another component that will further complicate the fight between the good and bad online.

For example, as he he explained, in the software supply chain, the bad guys are constantly looking for weaknesses, and the good guys are constantly looking for ways to eliminate them. "It's a dead race, although users today are still in a slightly better situation than they were ten years ago," said Lasic.

It's specifically in this area - the software supply chain - that the Croatian ReversingLabs company, with offices in Zagreb and across the pond in Boston, deals with. ReversingLabs is currently seeking an opportunity to achieve the goal they are striving for the most - to become a unicorn, that is, a company worth a billion US dollars. They're currently in the phase, he said, of starting to conquer the market with a brand new product.

The company founded by Mario Vuksan and Tomislav Pericin started its operations in Zagreb fourteen years ago with a focus primarily placed on cyber security. This focus is based on previous work experience in the American company Bit9, which was later renamed to Carbon Black. They have focused on developing technology to detect and fight against malicious software (malware), and today they have the best static analysis of software in the entire world that doesn't require any sort of access to the source code.

A turning point in the development of the Croatian ReversingLabs company was the attack by the Russian secret services on the American software company SolarWinds when there was a breach in the networks of tens of thousands of American companies and government agencies. Then, by chance, ReversingLabs turned out to be the only technology option possible for detecting advanced software supply chain attacks.

"Most of the components of today's software, about 80% of them, come from open sources, that is, the Internet. The primary tactic of the attackers is to get to open sources and insert their components into parts of the software, which the users then completely unconsciously incorporate into their own software," explained Lasic.

As terrifying as that sounds, there are more and more such incidents taking place, and heavily infected software packages are discovered on a weekly basis, with several major incidents occurring annually.

The biggest and most sophisticated such attack so far was the aforementioned "SolarWinds" attack, and nowdays we're witnessing another big attack - the one through the 3CX application for making calls over the Internet.

''Our task is to control open source repositories on a daily basis, and even more often, with the aim of detecting infected software components and preventing such incidents from taking place,'' Lasic pointed out. The quality of their solution was also quickly recognised by investors, and the Croatian ReversingLabs company received a second round of investment in the amount of 56 million US dollars back in 2021, while in total they have received 81 million dollars of investment to date, which makes them one of the most potent domestic startups that could take the title of the third Croatian unicorn.

According to Lasic, the latest investment was led by the private equity fund Crosspoint Capital, which is interesting for several reasons. It is led by some of the giants of the technology industry in the modern day, and one of the partners in the fund is Greg Clark, a big name in the world of cyber security who managed Symantec, a well-known American software giant, for several years.

"They recognised the potential of the technology that ReversingLabs has developed and believe that we can become a unicorn. They're also specific in that they provide us with both tactical and strategic assistance," says ReversingLabs' senior vice president for technology. ReversingLabs will really need that help, because the company is in the phase when it has to market its new product, and on the insanely competitive American market, that is certainly not easy, even with the best possible product.

"Sales and marketing must now capitalise on the technical excellence that we've developed and ensure our recognition on that market," emphasised Lasic, who replaced Zagreb with Boston during his studies and "stayed" there for a full 30 years. The majority of that investment was invested in the development of a product intended to provide security in the software procurement chain and to strengthen the team in charge of sales and marketing.

They increased that department in their American office located in Cambridge near Boston by about five times, and the number of people in Zagreb, who are engaged in engineering work, research and product development, by about 40. Today they have a total of more than 250 employees, and more than 170 of those people are based here in Zagreb. A significant spring in their step in terms of the conquest of the US market will surely be the fact that the analytical company Forrester included them in their overview of the most complete solutions of SCA suppliers (software composition analysis) for the year 2023.

This is important, according to Lasic, because based on that list, numerous companies decide which and whose solution they will implement. Their goal is to conquer the American market, where they currently generate 90 percent of their revenue with their first product, and those figures have been growing significantly for the past two years now. Europe is important to them, but it is a smaller market, and the general level of awareness of cyber security, as well as the budgets dedicated to it, are much lower.

Despite the difficult economic situation we all continue to find ourselves in, the Croatian ReversingLabs company isn't too concerned about the turbulence and crisis unfolding in the technology sector, which is currently in full swing in the USA and around the world.

"This is the best time to start something. Hard times either bring out the best in you or destroy you. In this situation, you have to focus all your energy on finding the best and optimal ways to make money," said Lasic, who led the development of as many as six startups across the pond in America before coming to ReversingLabs. He has been at ReversingLabs for eight years now, and what keeps him going is the founder's ambition and new projects, of which there is no shortage.

"The company is constantly growing, so my function changes accordingly, which is a big challenge for me. That makes me happy and it's really fulfilling. The worst thing is when the company stagnates because it's difficult to maintain the work ethic in such situations,'' concluded Lasic.

For more, check out our dedicated business section.

March the 16th, 2023 - Borovo has been swimming in troubled waters for a long time now, but could an otherwise wholly unpopular measure actually end up being the best solution of all for this enfeebled company? Maybe.

As Poslovni Dnevnik/Marija Brnic writes, a couple of years ago, it seemed that everything regarding the survival of Borovo had finally fallen into place properly, a restructuring programme was fully drawn up, of which the consulting company KPMG was in charge. Since then, the extension of the CERP guarantees has only been approved in order to postpone the repayment of loans to the state banks for yet another year, thanks to which Borovo is still keeping afloat, and the new deadline for another such decision is coming up in just a month.

In CERP, which is the 100 percent owner of this much loved Vukovar-based footwear manufacturer, the case of its restructuring is considered one of the top priorities in 2023, after several problematic cases in the state portfolio were finally closed over the past two years. At the same time, the process within Borovo stands stagnantly right where it was two years ago - the restructuring proposal prepared by KPMG clearly didn't meet the expectations of the relevant ministries.

However, on the other hand - when it comes to Borovo, no deadline was actually set in which the case should finally be closed, either through a new model of operational and financial restructuring, an attempt at privatisation or the worst case scenario - bankruptcy.

Although bankruptcy is something to be avoided like the plague in Croatia, there are those working within the ministries of economy and finance who see this very solution as the best one. In their opinion, the projections from KPMG's proposal fail to offer what is needed, and instead only work to postpone the solution of the problem and prolong Borovo's limbo and uncertainty. This is because it starts from some basic recommendations for improving business, such as reducing overhead costs and the number of employees, changing the production profile and focusing on more profitable programmes, and finally finding a good strategic partner. According to the assessment of the relevant ministries, Borovo will continue to remain in a difficult state in which it will hardly manage to attract any serious investors seeking a safe project.

For this reason, as has since been learned, it was requested that KPMG define much more clearly what it would to to ensure and enable a long-term solution without bankruptcy threats and then to find a strategic partner, and that the programme be organised so that it can receive the approval of the European Commission (EC). That something is simply not right with the existing solution was also confirmed by the President of the Board of Borovo, Gordana Odor, who said the following:

"KPMG prepared a restructuring plan one year ago, but it hasn't yet been adopted by the relevant ministry and will have to be refined by KMPG. The main complaint of the ministry is the lack of a strategic partner that would be a guarantee for the survival of Borovo,'' said Gordana Odor, adding that when it comes to Borovo, the bigger picture must be looked at.

First, as she explained, it's actually very difficult to find a private investor who is ready to take over Borovo with all of its accompanying problematic buildings on an area spanning 13 hectares. This is full of unresolved property-legal disputes that are being conducted on the territories of both Bosnia and Herzegovina and Serbia.

According to the current restructuring plan, the state should recapitalise Borovo with 92 million kuna, which would close its existing liabilities to the banks. The share capital of Borovo is at the level of 316.7 million kuna. The assessment of the Management Board and KPMG was that this would enable better positions for the search for strategic partners and investments in the modernisation of Borovo's production, which normally also takes place on machines from 1940, and for which the company could finally rely on European Union funds. In Borovo, they're convinced that, once the company is relieved of all of its loan debts, it can meet all of its obligations and conduct its business properly.

According to the first data for 2022, revenues compared to the previous year have increased by 2% and are at the level of 10 million euros. However, business expenses grew much more. On average, total material costs increased by 23%, wage costs by 6.5%, and the largest increase of 100% refers to gas, while energy costs increased somewhat more slowly, due to government measures, by 20%.

All other input resources had growth trends of 10 to 20 percent, especially leather. An additional cost was a 12% increase in workers' wages, which is a significant increase for a labour-intensive activity, which also increased costs of about 5 million kuna. Overall, the increase in costs resulted in a loss of 9 million kuna for Borovo.

"Under these circumstances, we had to adjust our operations and we placed the emphasis on optimising procurement, production, storage and transportation costs, with the goal of maintaining existing liquidity," explained Gordana Odor. As for the number of employees, currently their number has fallen to the lowest level so far - 563.

"Borovo is aware that in times of crisis it has to make business adjustments for the conditions ahead, but we certainly need help and the involvement of the state, which we have been talking about for several years now,'' concluded Gordana Odor, noting that we're still talking about the largest employer in the entire Vukovar area which employs mostly women, and that they have spent most of their working lives working for Borovo and have no other qualifications.

The problems faced by Borovo will be on the agenda of the CERP Board of Directors as early as next month, in order to consider another extension of the guarantees for loans that the company has in the amount of 6.1 million euros each, for which the state's shares in Podravka, Koncar and HT are pledged as insurance.

However, before that, representatives of the Management Board, KPMG, CERP and the relevant ministries will need to sit down together in order to shed light on the current ambiguities surrounding the preparation of the final proposal on which the future of the company depends entirely. The reason that no expedient solution has been found for many years lies in the fact that Borovo is not only a commercial and economic issue, but is also burdened by the political context and inter-ethnic relations between Croats and Serbs, as well as conflicting relations between local and state authorities, which further complicates matters.

For more, make sure to check out our dedicated business section.

March the 15th, 2023 - Croatian product exports to nearby Austria are very encouraging indeed, with excellent growth recorded within the SPAR retail network recently.

As Poslovni Dnevnik writes, Croatian manufacturers and Croatian product exports are only continuing to achieve absolutely excellent results when it comes to selling their own products through the SPAR sales network in Italy, Austria, Slovenia and Hungary.

The total level of Croatian product exports circulating within SPAR stores increased in the aforementioned neighbouring or nearby countries compared to 2021 to 38.6 million euros, or by 36 percent. The total realised turnover for those same Croatian manufacturers through the SPAR retail network is now higher than 143 million euros.

The largest increase in Croatian product exports in 2022 was recorded in Austria, where sales of well-known Croatian products such as Podravka's Linolada and Vegeta and Atlantic's Cedevita grew the most. Grasevina Kutjevo and Badel Pelinkovac also recorded significant growth.

On the neighbouring Slovenian market, the most growth was achieved by the brand Violeta, which produces its own brand of wet wipes for SPAR. The data show that Slovenians also like traditional Slavonian products of the DOBRO (Good) brand marketed by Zito d.o.o., while the Italians still remain loyal to Croatian cod and Zigante truffles.

"We're glad that in addition to large Croatian manufacturers such as Podravka and Atlantic, more and more medium-sized and even small companies are achieving significant growth through the SPAR sales network," said Helmut Fenzl, president of the SPAR Croatia Management Board.

For more, make sure to check out our dedicated news section.

November the 12th, 2022 - Croatian agricultural products are as much as 22 percent more expensive as inflation continues to bite and the costs of raw materials just keep on increasing.

As Poslovni Dnevnik writes, the average producer prices of Croatian agricultural products in the second quarter of this year increased by a considerable 22.1 percent when compared to the same period last year, according to data from the Central Bureau of Statistics (DZS).

The prices of vegetable products increased by 22.7 percent, and livestock, poultry and livestock products by 21.3 percent. The increase in prices of plant products was achieved in all groups of plant products, except for the group of fruits, in which prices fell by 8.1 percent.

The increase in prices of plant products in general was mostly influenced by the increase in prices in the groups of cereals (by 65.1 percent), vegetables (by 30.4 percent) and wine (by 9.2 percent).

In the group of products that have the largest share in animal husbandry compared to the same quarter of 2021, prices are much higher. For cattle, there has been a price increase of 28.6 percent, for pigs, there has been an increase of 19.5 percent, for milk - 18.4 percent, and eggs - 42.5 percent. Prices have also increased in other groups in animal husbandry.

The prices of goods and services for current use in the second quarter of this year when it comes to Croatian agricultural products compared to the same period last year increased by a very significant 50.1 percent, and this growth was mostly influenced by the increase in the prices of energy, fertilisers and animal feed.

As such, the prices of energy increased by 90.7 percent, fertilisers by 189.9 percent and animal feed by 27.5 percent. The prices of seeds and planting material also increased, by 17.9 percent, hitting the pockets not only of the farmers but of the end consumers quite hard.

For more, make sure to keep up with our dedicated lifestyle section.

September the 1st, 2022 - NP Ucka is set to play host to the largest fair of traditional products from the Istrian peninsula and Kvarner on September the 4th, with free transport heading there from the gorgeous town of Opatija.

As Morski writes, the fourteenth edition of the Ucka Samanj will be held on Sunday, September the 4th, 2022 at NP Ucka, from 10:00 to 20:00. The fair will also be expanded to cover lectures, workshops and the screening of a film which will take place during the morning hours.

This traditional manifestation will finally take place once again after two pandemic-dominated years, and it is otherwise known as the largest fair of traditional products in Istria and Kvarner. Ucka Samanj will also showcase sales and exhibitions, educational lectures and workshops, a programme for children and a cultural and entertainment programme this year.

This event at NP Ucka will work to promote the cultural and natural heritage of this protected area and support local producers of traditional products from across Kvarner and Istria. As such, this year, local products from both sides of NP Ucka will be presented at the fair, and visitors will have the opportunity to experience the legacy of the Istrian peninsula and the hinterland of the Opatija Riviera, through the presentation of associations that nurture the traditional culture of this area, as well as through the presentation of old crafts and native animals. About 50 exhibitors, associations and organisations will participate in the event. 

Visitors will be able to get much better acquainted with the traditional production of locally-made instruments in this part of the fair, including the forging of iron, the making of wooden figurines, mushroom hunting, local cultural heritage and much more.

The sales part of the fair will cover the rich offer of local manufacturers, and among other things, various dairy, meat and dried products, honey, fruit, brandy and liqueurs, wines, craft beers, teas, vepin products, jams, and natural cosmetics will be sold at the booths. Free bus transport to the NP Ucka fair will be provided from Opatija.

For more, make sure to check out our dedicated lifestyle section.

May the 11th, 2022 - The Croatian company Sobocan's innovative product has seen the company take home bronze at the A’Design Award & Competition, placing Croatian products firmly at the forefront once again.

As Poslovni Dnevnik writes, following a series of international awards, the mobile office made by the Croatian company Sobocan won a bronze medal at the A’Design Award & Competition, which is known as the leading international design competition. According to the expert jury, bronze was awarded to the company for their movo model THE FREE SPIRIT.

The movo is available in seven different models, all of which are characterised by modern, innovative and functional design because they take up minimal space, and are very simple and easy to fold for work and mobility. Each of the models is entirely mobile, foldable, equipped with an electrical box and storage and has the possibility of being locked. The award-winning THE FREE SPIRIT model has delighted the profession with its elegance and simplicity.

THE FREE SPIRIT arose from Sobocan's idea that the work element is easily moved from one room to another. It therefore features oversized wheels and a handle that makes it very easy to move. When the worktop itself is closed, all the working material becomes invisible and the product becomes a closed element. In addition to the worktop, in the closed part of the product, there are two drawers, compartments for A3 and A4 paper sizes and a laptop, space for binders and a built-in box with power and USB inputs. The aesthetics of this compact product are very simple and as such can be adapted to an array of interiors, and veneered plywood and plastic-coated steel pipes follow modern trends in industrial design.

“Movo is one of the few Croatian brands that can boast of the prestigious A’Design Award and it is a great recognition for Croatian design. We at Sobocan are especially proud because movo is the first product of our own, which we conceptually developed and produced under the roof of our company. We're glad that movo models are recognised on the market as the right solution for the needs of functionality and flexibility of the workplace, as well as a top design solution,'' said Anamaria Burazin Eskinja, product designer and head of the Sobocan design studio.

The aforementioned competition which saw Sobocan's product take home bronze is otherwise the leading international design competition held each year, and awards are given in a variety of creative areas to highlight the best design solutions. The best works are selected in several categories according to the criteria of innovation, technical characteristics and the ability to solve complex design problems. The competition promotes the highest standards in design, advocating for a better understanding and importance of design in all aspects of life.

In addition to winning bronze at the A’Design Award & Competition, which is now the fourth world award in a row, movo has won the following prestigious international awards for design and innovation; German Innovation Award 2021, Iconic Awards - Innovative Interior 2021 and BIGSEE Wood design award 2021.

For more, check out Made in Croatia.

March the 23rd, 2022 - Croatian stop smoking teas created by young Slavonian Luka Soldo (21) are set to enter the Spanish market.

As Poslovni Dnevnik/Sergej Novosel Vuckovic writes, young Slavonian Luka Soldo (21) got rid of his own nicotine addiction with a few innovative herbal preparations that he makes himself. Making rolls like cigarettes, from plants, and without tobacco, he realised they were helping him, so he designed his own project.

He and his family invested 5,000 euros and in Podolje in Baranja back in 2019 and then they started to procure, mostly from their own home fields, various herbs, which they picked, cut, dried, chopped, processing everything by hand. They then packaged them and presented them as the Herbie brand, not for smoking, but for drinking - a mixture of teas. With that move, the first Croatian stop smoking teas were born.

Last year, Herbie was crowned the best entrepreneurial idea and awarded 25,000 euros in an international competition of the Crown programme of the Sisak-Moslavina County Development Agency Simora.

The market has somewhat recognised these truly unique Croatian stop smoking teas, they are available through the Herbie webshop and in a couple of specialised stores in Zagreb, Split, Rijeka, Osijek and Zadar, but the goal is to work on the visibility of the brand. As of today, Herbie is also heading for the increasingly popular Kickstarter, with a crowdfunding funding campaign, Soldo wants to raise 1,500 US dollars to invest in marketing.

"We set that amount so that we'd manage to reach it on the very first day, we want to introduce the brand to the public and make people aware that there are herbal mixtures with which people can stop smoking,'' explained the young entrepreneur.

He recently presented the Herbie brand in Barcelona at the world's largest mobile telecommunications fair, the Mobile World Congress, and agreed on placing the product in Spain.

For more, check out Made in Croatia.

March 9, 2022 - The European Commission announced that the 'Zagorski štrukli' was now registered as a Protected Geographical Indication (PGI), and 'Zagorski bagremov med' as a Protected Designation of Origin (PDO).

In the nineties, the European Union has established a unique system for protecting and promoting traditional agricultural products and foodstuff. Such products are marked with the symbols of the European Union for the protected designation of origin, protected geographical indication, or a traditional guaranteed specialty, which provides the consumer with information on the purchase of an original product of known origin.

Croatia already has 33 protected products. Adding these other two, whose proposal was submitted in 2018, takes our Country to 7th place in the ranking list of EU countries with the most significant number of protected designations of agricultural products and foodstuffs.  

List of the 33 products whose names are registered in the EU before March 7th. (Image: Ministry of Agriculture of Republic of Croatia)

The application to register the traditional Zagorije dish, made of dough with cottage cheese filling, more precisely known as Zagorski štrukli/Zagorski štruklji, was submitted by the association for the protection, preservation, and promotion of traditional Zagorje products “Tradicija Zagorja” (The Tradition of Zagorje).

On the other hand, the process of protecting the name Zagorski bagremov med was submitted by the Krapina-Zagorje County beekeepers’ association. Zagorski bagremov med (Zagorje black locust honey, sometimes called acacia honey) is produced in Hrvatsko Zagorje from the nectar of Robinia Pseudoacacia.

These important awards confirm that Croatia has a rich legacy of agricultural products and foodstuffs, characterized by a remarkable quality and traditional production. 

Croatia’s cuisine has several influences ranging from Hungarian and Venetian to Austrian and Turkish. These varying traditions come together to create a fresh and seasonal eating style, splitting in a range of eight loosely defined regional styles of food: Zagorje, Slavonia, Medimurje, Lika, Gorski Kotar, Istria, and Dalmatia.

Spreading the knowledge on the meaning of protected designation of origin, protected geographical indication, and traditional guaranteed specialty, as well as informing people with labels on products whose names are protected and registered as one of the previous designations, helps the producers promote their products and teach the consumers how to identify an authentic traditional product. 

If you needed another reason to visit Croatia and discover its culinary tradition, here are two more, or rather…35 to discover!

For more on Croatian products, producers, companies, and exports, make sure to check out Made in Croatia.

February the 8th, 2022 - There are quite a few Croatian products which have become much loved by foreign buyers shopping in Spar stores in the nearby European Union (EU) nations of Italy, Hungary and Slovenia.

As Poslovni Dnevnik/Marta Duic writes, the fact that the Spar retail chain is an important partner for domestic producers and the placement of their products on the shelves of many other European Union countries is best evidenced by the fact that despite the global coronavirus pandemic which continued throughout 2021, Croatian products, ie their manufacturers, generated more than 106 million euros in turnover through the Spar sales network alone in the nearby countries of Italy, Austria, Slovenia and Hungary.

The total turnover of Croatian products in Spar stores grew last year as well, which brought domestic producers an increase in revenue of as much as six million euros compared to 2020.

The biggest increase in terms of exports of Croatian products was recorded in Austria, where the first four exporters enjoyed as much as 40 percent higher revenue in 2021 compared to the record year of pre-pandemic 2019.

The data showed that the neighbouring Italians are loyal to Croatian products such as the much loved truffles and white cod, the Hungarians love Croatian ice cream and water, and the Slovenians have discovered Croatian dried meat products under the label Dobro (Good), which is sold by Zito, whose turnover in 2021 was twice as high as it was during the year before.

Although the list of major exporters is still dominated by large Croatian products and their producers such as Atlantic, Podravka, Cromaris, Dukat and Vindija, small producers include lip balms made by Vimi, Dobro and New Bakery, one of the largest European baklava factories, located in Donji Stupnik.

For more on Croatian products, producers, companies and exports, make sure to check out Made in Croatia.