Poland-Taiwan bilateral trade still steadily increasing

Poland-Taiwan bilateral trade still steadily increasing

By Erika Wang, The China Post


Poland is the birthplace of such notable figures as astronomer Nicolaus Copernicus, Pope John Paul II, composer Frederic Chopin and Nobel Peace Prize laureate political leader Lech Walesa.
Poland is also one of the fastest growing economies in Europe today. "With a GDP growth of about 6 percent last year, the Polish economy is developing more than the average of all 27 EU members (2.7 percent)," notes Slawek Strazewski, director general of the Warsaw (Poland) Trade Office in Taipei.

Poland ranked high for planned investments in Europe and is a top global investment destination according to the European Attractiveness Survey 2007 conducted by financial giant Ernst & Young, adds Romuald Morawski, head of the Economic Section of the office.

Bilateral trade between Poland and Taiwan has steadily increased since the establishment of the office in 1995. "Total trade increased from US$852 million in 2004 to over US$1.4 billion last year," explains Morawski.

Taiwan mainly exports electronics such as TFT-LCD panels and printed circuit boards, while Poland's major exports include furniture; chemicals; and food products such as chocolate and the popular vodkas "Belvedere" and "Zubrowka," a dry herb-flavored blend which dates back to the 16th century.

Already over 20 Taiwanese companies have set up operations in Poland, including computer hardware manufacturer Micro-Star International (MSI) and, most recently, LCD monitor manufacturer TPV Technology.

For Strazewski and Morawski, it is not difficult to see why more and more global industry leaders are investing in Poland.

Key among Poland's advantages is its strategic location in the heart of continental Europe, says Strazewski. Poland is bordered by Germany to the west; the Czech Republic and Slovakia to the south; Ukraine and Belarus to the east; and the Baltic Sea, Lithuania and Russian enclave Kaliningrad Oblast to the north.

Since May of 2004, Poland's eastern borders became a part of the EU's external border and now the country is a launch pad to eastern European markets. Investment in Poland provides direct and easy access to 500 million people in Western Europe and 250 million in Eastern Europe.

Moreover, Poland has direct flights to major European and world cities from 11 airports, and its three seaports on the coast of the Baltic Sea connect to the most important seaports in the world, explains Morawski.

Investment incentives include tax exemption on income generated from business activity conducted in any of Poland's 14 special economic zones, reimbursement for costs of equipment or additional workplace equipment, and exemption from real estate tax for a period of time, among others.

Poland also offers a large and growing domestic market with nearly 40 million consumers driving 10 percent annual retail market growth, and it is an industrial services hub with over 40 research and development (R&D) centers as well as a preferred location for accounting departments, call centers and warehouses.

In order to drum up Taiwanese investment, the office organized the Polish Investment and Trade Seminar, which attracted 165 participants from more than 70 companies to Taipei in September.
In terms of tourism, Poland welcomes about 4,000 to 5,000 tourists from Taiwan each year, who no doubt enjoy the spectacular scenery of the 1,700-kilometer coastline, as well as indulging in the country's many historical, cultural and natural sites.

Strazewski recommends a visit to the historical city of Cracow with its beautiful cathedrals, museums and castles, as well as one of the oldest universities in Europe, the Jagiellonian University. "The atmosphere of the city is excellent, and there are a lot of inexpensive restaurants and bars everywhere."

Also not to be missed according to the director general is the northern part of the country including the Masurian region, which is peppered with thousands of lakes and the Baltic Sea's beaches, and Gdansk's Old Town and scenic seaports, which are sure to enthrall any tourist.

For those who are not fond of flying, fear not: "Poland is closer than you think!" says Marewski. Warsaw is a two-hour flight from Amsterdam and about an hour away from Vienna, with direct flights from Taipei can take visitors to either of which connecting destinations. Inexpensive airfares from budget airlines are available throughout Europe as well, adds Strazewski.

And starting next year, Poland will be part of the Schengen area, so visitors may obtain just one visa to visit several other member countries, including France, Germany, Luxembourg, the Netherlands, Portugal, Spain, and Italy, Strazewski remarks.

"Our main goal with tourism is not to make money, but to draw the two cultures closer together," says Strazewski. To this end, Poland participates in such promotional events as the international travel fairs in Kaohsiung and Taipei as well as the Taipei Food Show.

Cultural events the office has organized include the recent debut in Tainan of Polish folk ensemble "Warszawianka" from Warsaw University and the 20-poster exhibition "Poland Contemporary Culture" held earlier this year in Taipei.

Along with the increasing number of Taiwanese tourists in Poland, more and more students in Taiwan are also choosing a Polish education. Currently Poland has over 500 Taiwanese students, mostly enrolled in medical faculties, according to Strazewski.

The director general is not surprised that figures for visitors and students alike are on the upswing. Poland has over 400 centers of higher education, among which the larger institutions offer courses in English--and all of which charge reasonable tuition fees.

Despite the geographical distance between them, Poles and Taiwanese are very similar, observes the Warsaw native. "Both are religiously devout, proud and hardworking, but also know how to