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Minister Vukelic announces strategies for shipbuilding, iron and steel industry

ZAGREB, Dec 26 (Hina) - The Uljanik shipyard in the northern city ofPula is the first state-run shipyard which should be ready forprivatisation in 2005, Croatian Economy Minister Branko Vukelic saidlast week presenting plans of his ministry for the next year.
ZAGREB, Dec 26 (Hina) - The Uljanik shipyard in the northern city of Pula is the first state-run shipyard which should be ready for privatisation in 2005, Croatian Economy Minister Branko Vukelic said last week presenting plans of his ministry for the next year.

The minister also announced a programme for restructuring the entire shipbuilding sector, adding that the government will soon adopt a new plan with reduced subsidies for this branch of the economy.

The item in the 2005 budget for state subsides provides for some 405 million kuna as state support to the shipbuilding sector, which is 10 percent less than in 2004, Vukelic said.

In the long run, subsidies for shipyards will be further cut so as to prepare them to operate without state support, the minister added.

In 2005, the ministry of the economy, labour and entrepreneurship is expected to complete a strategy for the iron and steel industry and find solutions for ailing iron plants.

The ministry is also expected to draw up a strategy for the textile, leather and footwear industries which can count on 20 million kuna as state support in 2005.

The minister said an agency for foreign investments and exports would start operating in 2005.

The ministry will be also engaged in Croatia's membership talks with the European Union, which will be opened on 17 March 2005.

(1EUR =7.5 kuna)

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