MFA launches website promoting Polish firms on foreign markets

Poland's Foreign Ministry has launched the “Anti-Covid Offer by Polish Business” website promoting Polish companies' products and services on international markets in the times of epidemic, deputy FM Paweł Jabłoński has told Polish Press Agency (PAP).

Polish agri-foods to reach new foreign markets

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"Due to the coronavirus pandemic, many supply chains were broken, while new demand developed in many places where there was no such demand before. This is an economic opportunity for our companies, hence the idea," Mr Jabłoński said.

The platform is designed mainly for producers of food, medical equipment, pharmaceuticals, personal protection and hygiene products as well as technology companies but other industries are also welcome to join by sending their business offer to the ministry, he added.

Polish embassies and foreign offices of the Polish Investment and Trade Agency (PAIH) will help Polish entrepreneurs to establish contacts with representatives of local business and local authorities, especially ministries responsible for the economy, agriculture and health as well as offer their support in procedural matters, Mr Jabłoński said.

Polish ‘lipstick effect’ and the Asian-African horizon

"At the moment, we are focusing on Asian markets but we also expect significant interest from Africa, especially in respect of medical solutions and food products," the Deputy FM added.

Poland discusses food trade to improve UAE food security

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The United Arab Emirates are a good example of an Asian importer of Polish frozen and chilled foodstuff. Recently a phone call between Poland’s Agriculture Minister Jan Krzysztof Ardanowski and Minister of State for Food Security of the UAE Mariam bint Muhammed Saeed Hareb Almheiri sparked hopes for the intensification of Polish food exports to the Emirates, whose policy is to become among the ten most food-secure countries in the world by 2021 and the international number one in terms of food security by 2051.

Ebury Poland’s Managing Director Jakub Makurat told Business Insider that “once the COVID-19 pandemic is under control, we expect more [Polish] entrepreneurs to seek for new sources of demand and higher margins in non-European markets. And their chances are going to be pretty high…”

“No longer we are a country whose cheap workforce makes it stand out, a country whose factories produce components for foreign concerns. More and more [Polish] companies can boast high-quality products and services and also very well-organised production and logistics processes,” Mr Makurat wrote.

Poland and UAE sign maritime trade deal

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The expert felt that “Polish food and cosmetics characterised by the famous ‘lipstick effect’... are just some products which we can field on non-European markets in the post-pandemic times.”

The lipstick effect is the theory that when facing an economic crisis consumers will be more willing to buy less costly luxury goods. Instead of buying expensive fur coats, for example, people will buy expensive lipstick.

Mr Makurat posited that given the demographic slump of Europe and the contrary trend in Africa and Asia, Polish entrepreneurs should look for export prospects there as, put simply, that is where more potential consumers are. “The number of population in Africa grows 2.5 percent a year, in Asia nearly 1 percent a year, in North America 0.6 percent,” highlighted the expert, adding that “the value of Polish export to Africa spiked in 2019 by one-fourth, to Asia by 7.4 percent.”

Another factor that might push Polish exporters towards the Orient is the drop in the share of the main trade partner of Poland in its exports. The end of 2019 saw a drop in Germany’s share in Polish export from 28.2 percent to 27.6 percent. “And, as of January, it is clear that it continues to drop… Polish business won’t be quick to return to a significant increase in exports to Germany. The main reason is the hard slowdown of the German economy and the worst German business sentiments in years.”