Slovak businessmen have new experience immediated to them by the Regional Chamber in Žiline - the foundations for an economic alliance have been laid between the Croatian district of Karlovac and the Žilina region.

The trade agent of the Croatian Republic to the Slovak Republic, Ante Ivkovich, puts the overall scope of Croatian-Slovak trade relations as being good yet still improvable. "All important mutual agreements the development of trade have been signed between the two states such that nothing stands in the way for the scope of trade to go beyond the present-day US$100 million," A. Ivkovich emphasized on the Slovak-Croatian Co-operation Day in late 1998 in Žilina, on which the representatives of 32 Slovak companies and 10 firms from the Croatian district of Karlovac met.

"I appreciate that we meet right after the CEI Zagreb summit," stated the Ministry of Economy of the Slovak Republic's section director, Ing. Peter Jesenský, at the Žilina meeting, "where the ministers of economy noted that the possibilities for mutual co-operation were not exhausted, and they agreed on the necessity for the business sphere to get more actively engaged in bilateral relations."

As stated by P. Jesenský, the Croatian share of total exports to the Slovak Republic stands at a mere 0.5 percent. This state, which he labelled as temporary, may progressively influence Croatia's accession to the CEFTA this year, which will largely facilitate the exchange of goods, capital and services. "I expect that after Croatia's integration into the CEFTA our trade may double to triple."

A natural interest in bilateral co-operation and efforts to work toward a shift of foreign trade from a multi-year stagnation at a level of $100 million are typical of mutual relations of the Žilina- and Karlovac-based Chambers of Commerce, which have already exchanged over the last three years a number of business missions. Zlatko Kuzman, chairman of the Croatian Chamber of Commerce in Karlovac, stresses the necessity for bridging both economies through joint endeavours to accomplish a strategic goal - integration into the European Union.

He views the advantageousness of the prerequisites for co-operation of Slovak businessmen with the district of Karlovac in a geographical position of the Karlovac region allowing for close relations with both Slovenia and Bosnia and Herzegovina and the development of joint projects to inroad into third markets. Yet another factor is the legal framework equally treating both domestic and foreign businessmen, macroeconomic and political stability, experience with foreign trade, the quality expressed by a widely drawn-up process of ISO certification.

"Croatia spends annually $10 billion on foreign trade and it is a mistake that only a meagre slice of this sum goes to Slovakia," stressed Z. Kuzman. The district's all-important partners include Italy, Germany, Bosnia and Herzegovina and Austria. We would consider it a success to have also Slovakia added to this group," he underlined.

Slovak businessmen have the door open especially, but not limited to, in trade in wood and products thereof and dairy products as well as certain types of consumer products. "We do not expect only a classical trade but also an expansion of co-operation by way of revitalizing and a wider representation of production - co-operation links," P. Jesenský stated in this connection.

"A plan to deepen the co-operation with the Karlovac business sphere is a step on the way toward larger-scale projects which may result in a $50 million rise in total trade over the next period," the Žilina-based RK SOPK chairman, Ján Mišura, said optimistically of the benefits to be gained from the expansion of contacts under the guidance of the Chambers of Commerce in Žilina and Karlovac.

The concept of co-operation based on mutual agreements for the exchange of information on business possibilities has already provoked interest with 40 business entities in having mutual co-operation. According to A. Ivkovich, that is a remarkable result yet a full potential of mutual relations will no doubt prove only after a free trade agreement has been signed.

Slovak Trade FORUM