DEVELOPMENT PLAN
$ S
VUKOVAR, Aug 19 (Hina) - The managing director of the recently
reintegrated rubber and footwear factory "Borovo", Vladimir
Husar, on Tuesday presented development plans to reporters in
Vukovar (UN-administered Danube region of eastern Croatia).
According to a plan the factory's new, lawful,
administration passed, in the next five years "Borovo" should
have between 3,000 and 3,500 employees with wages on the level of
the highest average in transition countries, Husar said. For the
said period plans include the development of traditional
manufacture of leather and rubber footwear and cuneate belts,
Husar said, while the manufacturing of car-tyres and rubber
technical products would be abandoned, since the market was
saturated with such goods.
"We shall develop only profitable manufacturing", Husar
told reporters, adding the company's administration expected a
lot from privatization and the inflow of fresh money.
At the moment, "Borovo" employs some 2,000 people, which is
above the requirements of current production. Some 4,000
employees are displaced persons whom Croatia pays a guaranteed
wage minimum. With the increase of production, they will be
returning to work, but as Husar recalled, these were mostly elder
persons of whom most would retire. The factory would employ a
young labour force, he said.
Before the war, "Borovo" employed some 22,000 people and
was the biggest footwear manufacturer in the former Yugoslavia.
Of the former 650 stores, about 200 work at the moment, in
Croatia, Slovenia and the Federation of Bosnia-Herzegovina. Since
manufacturing facilities were destroyed in the war, the company
is currently estimated to operate with 0.1 percent pre-war
potential. The basic capital of "Borovo", registered with the
Croatian Privatization Fund, amounted to some DM 650 million,
said managing director Husar.
The majority of the company's administration are displaced
persons who travel from Zagreb to Vukovar once a week. Plans for
the future include that top people in the company soon move to
Vukovar, but not to their occupied or demolished houses, but
temporary accommodation.
(hina) ha jn
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