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CROATIA'S FOOD CONCERN PODRAVKA TO BUILD PLANT IN POLAND

ZAGREB, May 10 (Hina) - The Koprivnica-based food concern Podravka is to start constructing its plant of Vegeta spice and soups in Poland this month. The value of the investment is 34 million German marks, and Poland has been chosen as it will be the future most important foreign market for this Croatian firm. The capacity of the factory is 15,000 tonnes of Vegeta per year. The Podravka management decided to construct the plant in Poland to cut costs of export into this country, as customs taxes for the import of Podravka products into Poland are very high. This move will also facilitate the sales of Podravka products on other markets in central and eastern European countries. The factory is to be built in a free economic zone where taxes are not collected and it may help the Croatian concern to realise a bigger profit. In 1998, the sales of Podravka products on foreign markets rose by 14
ZAGREB, May 10 (Hina) - The Koprivnica-based food concern Podravka is to start constructing its plant of Vegeta spice and soups in Poland this month. The value of the investment is 34 million German marks, and Poland has been chosen as it will be the future most important foreign market for this Croatian firm. The capacity of the factory is 15,000 tonnes of Vegeta per year. The Podravka management decided to construct the plant in Poland to cut costs of export into this country, as customs taxes for the import of Podravka products into Poland are very high. This move will also facilitate the sales of Podravka products on other markets in central and eastern European countries. The factory is to be built in a free economic zone where taxes are not collected and it may help the Croatian concern to realise a bigger profit. In 1998, the sales of Podravka products on foreign markets rose by 14 percent to 1.09 billion kuna (about 270,000 marks). Most important importer out of foreign countries was Poland. A third of the total export last year went to that eastern European state. (hina) ms

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