The measures are aimed at improving the competition of this sector, and 20 million kuna are to be spent for this purpose annually in the next three years.
The Ivo Sanader cabinet has set out conditions for potential recipients of these funds: they have to use funds for the development rather than for the financial rehabilitation, funds will be allocated according to results of invitation for applying for the funds, and companies, registered in Croatia which have their producing plants in the country, can apply for this,
The government plans to encourage domestic companies from the the textile, leather goods and footwear industry to develop their own production, introduce new technology and quality system and train employees.
The problem of training is noticed in this sector which employs about 40,000 works, most of whom are women.
The government also bound the agriculture ministry to continue with the programme of co-financing the construction of cold-storage plants with accessory equipment, and decided that 7.5 million kuna should be allocated for this purpose this year.
(1EUR = 7.3 kuna)