newsletter - 04.2020
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Business during the plague
We are changing for the better
News from sunny Italy
KoronaOffer from our partner
ZP Polish Clusters and Covid 19
Business during the plague
Last month was the dramatic situation in which the business found itself due to the sudden freezing of markets, supply chains, demand and the possibility of acting in the form that has been in force around the world so far.
Unfortunately, the limitations of existing business solutions often place us before the necessity of making fundamental decisions: close the business, lay off employees, how to fight for survival in a situation of retained influence? Who to sell to, when customers have disappeared, producers have been left with full warehouses and production capacity turned up, and the existing supply and distribution channels in most cases fail?
In this difficult time, it is also necessary to consider taking up business in new directions, taking advantage of the flexibility of our companies, the possibility of getting a "second leg", e-commerce, as well as entering new markets that we have not yet considered.
The more we want to draw your attention to the activities of our organization, which has been working for a long time towards the organization of new markets for cluster members.
These are markets that have been relatively little explored by Polish enterprises so far. Projects can be directed to large enterprises related to groups of their subcontractors and subcontractors but also to smaller private groups (project consortia) and individual entrepreneurs.
West Africa, Kazakhstan, Central and South America are huge markets that can be successfully launched for our companies. In our activities, we intensify contacts with business groups but also with the authorities of countries in a rapid growth phase and where we see the great potential and opportunities to do business safely.
Our offers for foreign partners include production offers of COP Cluster members, delivery of machines, food products and construction services
and others, combined with the possibility of support with export credits designated for these programs. As part of our activities, we can launch huge demand opportunities for Polish services, products and technologies.
For several years, the COP Cluster has been conducting such activities in countries such as West Africa, where three sister groups have now been created, which organizationally correspond to the structure of the COP Cluster in Poland.
Appropriate business environments are prepared with which we can establish specific talks on the supply of Polish machinery and equipment, food products, chemistry, light industry products and many others.
To support this process, we have launched a cooperation database form on our website, where you can enter your data and offers for the sale or purchase of products and services regardless of their type and industry.
We also have English and French versions of the form for foreign contractors. All data goes to our database, which we use every day when connecting contractors and developing the concept of cluster projects.
Entry to our database is free . It gives us the opportunity to propose targeted cooperation offers. However, to fully take advantage of the opportunities offered by the international COP Group, you must be a registered member of the COP Cluster.
Is it working? YES.
The last two months are a very intensive work time, where within the cluster we combine our efforts, including by undertaking commercial activities aimed at bringing protection measures for doctors to Poland, organizing such deliveries to Italy and recently also to Great Britain. We invite you to join our group, especially those companies which, based on their international or national contacts, have the ability to organize deliveries from producers. Direct contacts with hospitals or medical wholesalers are also at a premium.
Regardless, we organize production projects in Kazakhstan : food production plants in the Khorgos zone , new technologies for building cheap roads - West Africa , Kazakhstan , South America . , supplies of machinery and food technologies - Burkina Faso , implementation of innovations based on Polish entities in the country and abroad, introduction of metal and food companies to the US market , NDA certification and many others.
We are changing for the better
You have certainly noticed a change in the graphics on our site. We adapt our website to the broader requirements that we plan to include as part of functionality for business.
We work, among others to launch an exchange panel for buying and selling offers for cluster members on this database, connected to similar portals in Asia.
Since March, our organization has also been supported by the Warsaw Chamber of Commerce , which is a full member of the COP Cluster. In the ' Partners ' tab you can find the WIG logo that will take you directly to the website of this organization, enabling you to familiarize yourself with the current activities of the Chamber, which are very close to our programs.
News from sunny Italy
And what about our friends from Brindisi?
It seems to us that many of the Italian problems and proposals of entrepreneurs are as if taken out of our Polish reality ...
All the more we recommend these suggestions to be considered by local governments, where the tourism and catering sector is particularly developed.
Below is a report from the Brindisi Chamber of Commerce regarding the social and economic situation in Brindisi and the entire Apuglia region:
"The economic effect of coronavirus is beginning to appear with increasing force in data on manufacturing activities. While we are waiting for initiatives to support the financial liquidity of enterprises, we note an unprecedented number of cases of closing companies - only in our region, in the first three months of 2020, almost 30,000 companies disappeared.
The ratio of the number of companies emerging and collapsing in the first quarter of this year is primarily affected by restrictions resulting from the emergency situation of Covid 19. This is the worst result in the last 7 years.
Freezing companies must not affect employees.
The blocking, albeit temporarily, of the crisis-related production activities in Covid 19 resulted in 3.7 million employees losing their only source of family income .
Employees of small and very small companies with an average monthly income of just € 1,250 pay the highest price. There are basically three overlapping problems in the production chain:
the first problem, which we can define as survival , is decisively related to financial resources, debt management and the financial stability of the enterprise;
it is absolutely necessary to resume production activities and construction sites that have been closed for too long and could not operate because of bureaucratic blockades that are no longer sustainable;
the third problem is related to the seasonality of the business of tourism industry enterprises - stopping operations for one and a half months in these conditions means the loss of, at best, a year of operation or, worse and more likely, will mean the loss of income and employment of the entire sector for the coming years.
All this raises great concerns, especially when it comes to real possibilities related to the need to solve these problems.
At present, to avoid the collapse of the entire system, it is considered necessary:
immediate start of production activities by the production sector;
granting aid "bonuses" in every case of problems with the functioning of companies.
We also fully share the appeals of associations representing the artisan sphere regarding the huge problem related to the wave of unregistered activities in the hairdressing, aesthetic, car repair, building repairs and many others sectors.
In the current situation, it is unacceptable that at the same time, when hundreds of companies close to limit human contacts, "black" activities are flourishing in homes or garages used as workplaces, disturbingly destroying "isolation" as the most important deterrent coronavirus infection and companies' efforts to maintain jobs.
In addition to the economic damage caused to ordinary companies, which sacrifice themselves, closing themselves for more than two months, there are moral losses and frustration.
In such a situation, all political and economic activities undertaken by the government should aim at maintaining the supply chain.
Below we summarize some of the proposals developed by the task force of the Council of the Chamber of Commerce in Brindisi:
Simplification of bureaucracy and unlocking of orders
Given the fact that public offices are still working, we are asking the city authorities and competent authorities to implement as soon as possible the simplification of permitting procedures and decisions (e.g. issuing building permits) through the use of self-certification and declarations.
We ask municipal authorities and other bodies to immediately start tender procedures for works and services that are currently suspended or are being considered, in order to create employment opportunities, especially for local companies.
Construction: in the period in which we discover the importance of apartments and their additions in the form of gardens and terraces, where there is also a need to adapt them to the conditions of infection control, authorization procedures must be bureaucratic and simplified to encourage immediate private and public investment in the sector building.
Facilitating the resumption of small and large works that can already be continued and large infrastructure works.
Payments of public entities
We encourage public authorities to speed up overdue payments
and expiring delivery invoices for local businesses to provide the liquidity necessary to maintain the productive structure of enterprises.
Central PPE purchases
Creating a shopping center to buy and provide local companies with masks and other personal / anti-infective protection measures, given that these measures are currently difficult to access (especially at reasonable prices, which only applies to large orders).
Large local companies
We urge large companies to be ready to speed up invoice payments for local smaller companies to ensure liquidity and maintain production structure in supply chains
Investments in industrial chains
We call for the involvement of large companies in accelerating projects and investments in progress or under development, while helping them to deviate from any procedures that slow down the launch or continuation of these ventures in order to create employment opportunities for local companies.
ZES areas We call on the authorities responsible for ZES (special economic zones) to accelerate their launch in epidemic areas
Permanent Technical Council of the province
Establishment of a permanent regional technical council (consisting of first-line experts) which will deal with the development of applications and procedures for dealing with emergencies and will accompany local companies in their reactivation process, preparing with commitment the industrial plan for the territory of Brindisi, ASI consortium, board Portu, Chamber of Commerce.
1. Suspension of collection of local taxes on enterprises, and related to services and concessions, due to the mandatory closure of these (service) enterprises on which these enterprises, due to their mandatory closure, do not have resources.
In particular, provision should be made for the cancellation of tax quotas (TARI, TOSAP, TOURIST TAX, ADVERTISING TAX, etc.) Only today for superiors to June June.
Any amounts already paid by enterprises, for the accrued portion corresponding to March and April, can be converted into a tax credit, which will be used as compensation for city taxes for 2021.
Failure to adopt the proposed solutions threatens to worsen the difficult financial situation of many of the enterprises involved and the actual difficulties in settling them within set deadlines, causing a number of administrative problems (withdrawal of licenses, suspension of operations, exclusions, etc.), whose only effect would be to undermine the stability of the sector, which would have serious consequences consequences in terms of employment and user services.
2. For public enterprises as well as tourist and commercial enterprises which provide services outside public areas in the summer, and taking into account the need to guarantee the "social distance" between customers in the near future, it is necessary to temporarily reduce the municipal TOSAP tariffs or, alternatively for those who already had a concession, extension of the area granted free of charge.
The lack of acceptance of the proposed solution and the need to ensure a greater distance between e.g. tables in cafes and restaurants would have the following direct consequences:
In the case of the same number of areas required under concessions, a decrease in the number of places, and thus a decrease in the level of employment, as well as a significant increase in sales prices, caused by a decrease in the volume of trade at the same concession costs;
In the event of an increase in the area required under concessions, a significant increase in sales prices, determined by the increase in the costs of concessions, with the same turnover;
In both cases, an increase in sales prices would risk shrinking demand and, consequently, weakening the sector, which could affect employment levels;
3. In order to facilitate the work of municipal offices and speed up the issue of permits, especially in the tourist accommodation sector, the Chamber of Commerce could provide companies with information and assistance to companies to prepare and send applications, leaving the municipal offices only formal verification these applications.
Failure to adopt the proposed measure, in the light of shortening the time of accepting applications submitted annually by tourist accommodation facilities, including seasonal ones, would lead to an increase in the activity of municipal offices and to the extension of the time of issuing permits and start-up activities, which, as a consequence, will negatively affect the turnover of companies and tourist services users and ultimately at employment level. "
CoronaOffer from our partner
In times of global concern about the spread of the virus, our members send support proposals to the entire cluster community. This is the proposal for our members, PAB , which offers FREE translation of the contents of INTERNAL regulations and information related to the epidemic, coronavirus and the fight against COVID 19, which is especially important for corporate companies working in an international environment .
ZP Polish Clusters and Covid 19
The pandemic period is a period of very hard work of the Employers' Union of Polish Clusters, which, in addition to coordinating the pressure of the cluster environment on the Polish government administration in the matter of adopting specific solutions within the framework of aid programs for enterprises, undertakes intensive cooperation at the European level. The COP Cluster also adds its "brick" to these solutions.
ZP Klastry Polskie, through the European Cluster Association, signed an agreement with the European Commission regarding the promotion of the clustercollaboration.eu/coronavirus portal. The link to the website is also posted on the COP Cluster website in the "Partners" tab.
The European side presents, among others articles on how to deal with the crisis, success stories of companies in the time of Covid-19 and many other interesting information related to fighting a pandemic. The portal is also being expanded, including about the forum and will be promoted through ECA channels through LinkedIn, FB, Twitter.
We propose to register in the portal and log in to the forum, which allows the exchange of information at international level regarding the offered products, reporting capacity and supply chains for use on a micro scale.
Working closely with ZPKP, we also encourage members of the COP Cluster to use our application form klastercop.pl/base (you can attach catalogs, price lists and other marketing materials) to send us information about products offered for sale or purchase, spare capacity, innovative solutions useful in fighting the coronavirus epidemic. This information will be sent to the general database of potential solution providers on a European scale. You can also use the English version of the form by clicking on the American flag after opening it.