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SEMINAR ON WAYS TO INCREASE EXPORT HELD IN ZAGREB

ZAGREB ZAGREB, March 15 (Hina) - A number of independent experts and economists from the state sector, businesses and academic circles attended a seminar on ways to increase economic growth and export, organised in Zagreb on Saturday by the Privredni Vjesnik magazine and the Konrad Adenauer foundation. The event was held under the auspices of Croatian President Stjepan Mesic.
ZAGREB, March 15 (Hina) - A number of independent experts and economists from the state sector, businesses and academic circles attended a seminar on ways to increase economic growth and export, organised in Zagreb on Saturday by the Privredni Vjesnik magazine and the Konrad Adenauer foundation. The event was held under the auspices of Croatian President Stjepan Mesic. #L# Participants in the event agreed that Croatia's economy was negatively affected by a low export level and a strong growth of imports and foreign trade deficit. Suggesting concrete action to solve these problems, the President's advisor on economy, Dubravko Radosevic, called on the participants to forward an appeal to the government and the economy ministry, urging the liberalisation of business legislation and the establishment of industrial clusters. Radosevic stressed the need for the adoption of a liberal law on free zones to attract investments and the establishment of industrial clusters, i.e. the integration of complementary companies in the wood-processing and metal industries, which he believes are the generators of export. In 2001 the Croatian wood-processing industry for the first time since 1918 saw a foreign trade deficit, exports in that branch of industry have been stagnating for years, while imports in the last decade increased from nine to more than US$300 million. Exports in the wood-processing industry have an unsatisfactory structure - the country is exporting wood and importing low-quality furniture. A cluster in the wood-processing industry could gather companies from the Lika, Gorski Kotar and Slavonija regions, helping re- industrialise them, Radosevic said. Sisak Ironworks and its new owner, Russia's Mechel company, should be the backbone of a metal industry cluster. Along with gathering complementary manufacturers from the Sisak region and elsewhere, the cluster would secure new jobs in the ironworks, Radosevic said. Assistant Economy Minister Olgica Spevec said that the legislative framework was being changed, a law on free zones would soon be discussed by parliament, as would laws on technology parks and investment stimulation. (hina) rml

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