27 April 2004

Zbigniew Sebastian, Chair of the Lower Silesian Chamber of Commerce talks to Kazimierz Śniadek.

Why have Wrocław and its surroundings been such a popular region?
Perhaps the reason is that over the past few years the world's largest companies such as Bombardier Transportation, Toyota, Whirlpool, Volvo and others have decided to invest in Lower Silesia. This is a message and the best recommendation possible. You could call it a domino effect. One of the basic criteria in locating new investment projects is whether predecessors have scored a success. If they have, the image of a business-friendly region develops, which attracts other investors.

But investment decisions are based on more specific considerations. What are they?
Certainly one of them is geographic location. A location close to the border with the Czech Republic and Germany. A developed transport network, both road and rail transport, telecommunications infrastructure, a local well-educated work force in all business branches, a developed banking system and even a network of English-language education facilities and recreation facilities-these are some of the reasons why it is worthwhile to invest here. Equally important is the political atmosphere, the local government's openness to cooperation with companies as well as their stability and consistency in pursuing economic policy.

Does this apply only to select branches of the economy?
No. There is no industrial mono-culture here as there is in Łódź, where light industry dominates. Both manufacturing and service oriented companies operate here. Beginning with factories producing rolling stock and automobiles, to pharmaceuticals and financial centers. Lower Silesia has favorable conditions for the development of any industry. But the opinion prevails that this is a region dominated by car part production. Toyota, Volvo, Volkswagen and Bosch have factories here.

You mentioned the region's location close to the border. What are its economic relations with its neighbors?
It is beyond doubt that this location ensures far better opportunities for trade contacts than those offered by other regions of Poland. The most important and intensive are obviously contacts with German companies. Many medium-sized and even small German companies establish themselves in Lower Silesia because of lower costs and a vast sales market. This trend will intensify once Poland has joined the European Union.

Isn't this cooperation one-sided then?
I wouldn't say that. The German market is very rich so it is a difficult and actually unprofitable market for most Polish businesspeople. But specific regions, like Saxony, Lower Saxony or Brandenburg are a sales market for Polish goods and services, particularly the products and services of Lower Silesia, an important market as figures indicate. However, it should be said that Polish business is generally oriented towards Eastern markets. Cooperation with the Czech Republic is negligible, in terms of trade. This is mostly due to the fact that the powerful German economy has a much stronger foothold on the Czech market than that of Poland. There is also no tradition of Polish-Czech cooperation. Perhaps the commonwealth within the EU will facilitate mutual penetration of markets, but no important changes should be expected soon in this area.

What are the economic prospects for Lower Silesia in the years to come?
Soon-sooner than other regions of Poland-we will have to face Western competition at the small and medium-sized company level. If they want to fight effectively for a place on the market, Polish entrepreneurs will have to meet the standards set by such companies. This is going to spur competitiveness and economic growth, which means a higher quality of products and services offered in Lower Silesia. Prospects for the tourist industry, in particular for the south of the province, the Sudety region, are very promising. We expect it to develop very fast. Besides, in view of continued interest on the part of European business in Wrocław itself, it should be expected that new investment projects consolidating the image of Wrocław as a business-friendly city will be launched in the immediate future.

DOLNOŚLĄSKA IZBA GOSPODARCZA
Lower Silesian Chamber of Commerce
Niederschlesische Wirtschaftskammer, ul. Świdnicka 39, 50-029 Wrocław, Poland
tel. (+48 71) 372 44 91; fax (+48 71) 343 45 97
www.dig.wroc.pl,
e-mail: biuro@dig.wroc.pl


Zbigniew Sebastian, in his second term as chair of the Lower Silesian Chamber of Commerce. Born in 1949 in Wrocław. Married, one daughter. He studied at the Wrocław University of Technology. In 1977 he obtained the title of doctor of technological sciences. He has worked as senior lecturer at the University of Missouri in the United States; he has held the position of general director at Camil Foreign Company in Poland. The owner of the Lower Silesian Industrial Corporation and co-founder of the Lower Silesian Chamber of Commerce. Member of supervisory boards of many Wrocław companies. Decorated with the Silver Cross of Merit and with the Gold Badge of Honor of the National Chamber of Commerce for activities of business self-regulation organizations.

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