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PDF File Generated From OCCASION This publication has been made available to the public on the occasion of the 50th anniversary of the United Nations Industrial Development Organisation. DISCLAIMER This document has been produced without formal United Nations editing. The designations employed and the presentation of the material in this document do not imply the expression of any opinion whatsoever on the part of the Secretariat of the United Nations Industrial Development Organization (UNIDO) concerning the legal status of any country, territory, city or area or of its authorities, or concerning the delimitation of its frontiers or boundaries, or its economic system or degree of development. Designations such as “developed”, “industrialized” and “developing” are intended for statistical convenience and do not necessarily express a judgment about the stage reached by a particular country or area in the development process. Mention of firm names or commercial products does not constitute an endorsement by UNIDO. FAIR USE POLICY Any part of this publication may be quoted and referenced for educational and research purposes without additional permission from UNIDO. However, those who make use of quoting and referencing this publication are requested to follow the Fair Use Policy of giving due credit to UNIDO. CONTACT Please contact [email protected] for further information concerning UNIDO publications. For more information about UNIDO, please visit us at www.unido.org UNITED NATIONS INDUSTRIAL DEVELOPMENT ORGANIZATION Vienna International Centre, P.O. Box 300, 1400 Vienna, Austria Tel: (+43-1) 26026-0 · www.unido.org · [email protected] Distr. LIMITED PPD.217 19 February 1992 UNITED NATIONS INDUSTRIAL DEVELOPMENT ORGANIZATION Original: ENGLISH TOWARDS REGIONAL DEVELOPMENT IN CENTRAL AND EASTERN EUROPE Workshop on Regional Development Corporations in Central and Eastern Europe Radziejowice, Poland, 10-12 June 1991 Organized by UNIDO in cooperation with the Polish Government through the European Institute for Regional and Local Development, University of Warsaw V.'>2·51270 This report was prepared by the Regional and Country Studies Branch, Industrial Policy and Perspectives Division. The designations employed and the presentation of the material in this document do not imply the expression of any opinion whatsoever on the part of the Secretariat of the United Nations Industrial Development Organization (UNIDO) concerning the legal status of any country, territory, city or area or of its authorities, or concerning the delimitation of its frontiers anJ boundaries. Mention of company names and commercial products does not imply the endorsement nf UN!DO. This document has not been edited. F 0 ll E W 0 ll D A key issue in Poland's transformation into a market economy is decentralization and increased local autonomy, in particular with regard to development initiatives. A critical element in the decentralization proces 3 will be the establishment of a supporting institutional framework for local sectors, and especially entrepreneurs. Such a framework can serve as a focus for local and regional developn1ent initiatives &nd for cu-operation with other -egions in the country, elsewhere in Eastern Europe and in the developed market economies. In this connection, the Polish Government requested the United Nations Industrial Development Organization (UNIDO) to hold a worksho;> on Regional Development Corporations (RDCs) in Central and Eastern Europe under its auspices. This workshop was jointly organizci by the Polish Government through the European Institute for Regi:mal and Local Development of the University of Warsaw and UNIDO. It was held at Radziejowice near Warsaw from 10-12 June 1991 and was attended by over 40 participants from Poland, other European countries, the USA and international organizations. The main objective of the workshop was to develop the RDC concept launched by Prof. Antoni Kuklinski of the University of Warsaw and to elaborate the modalities for such corporations. This is to lead to the establishment of pilot corporations in collaboration with the concerned international organizations and with financial backing from the IBRD, IFC, UNDP, UNIDO and other bilateral funds. The activities of these corporations will be m-:>ni to red both by Polish authorities and other interested organizations. The experience obtained from this experiment would then be shared with other Central and Eastern European countries as well as interested developing countries. An evaluation of the pilot projects is to be made in 1992. It was felt that a wide distribution of the proceedings of the workshop would stimulate the discussion about regional development. The present publication presents its analyses, conclusions and recommendations in a revised form. It was prepared by Prof. Jan Woroniecki, University of Warsaw, and the UNIDO Secretariat. Paul Hesp, UNIDO consultant and Agnieszka Mync co-ordinated the preparation of the original contributions to the workshop. ii TABLE OF COBTEKTS REGIONAL DEVELOPMENT - A S!JMMARY OF THE WORKSHOP CONTRIBUTIONS AND DISCUSSIONS • • • • • . • • . • . • • • • • • • • • • • • • • • • . • . • . • . 1 1. Introducing the issue ..••••••••••••.••••...•.•••••.••••••• 1 2. JCey findings •••.....•..•....••••••••••••••..•............• 3 3. International cooperation and the RDCs •••••••••••••..••... 9 4. Main conclusions and recommendations of the Workshop •••••• 10 PART I: REGIONAL DE"IELOPMENT: TliE INTERNATIONAL CONTEX1' 13 1. REGIONAL DEVELOPMENT TRENDS IN WESTERN EUROPE AND THE EC .. 14 I.I Globalization versus regionalizbtion ••••••••••••••••• 14 1.2 Western Europe: regional development policies in the past • . • • . • • • • • • • • • • • • • . • . • . • . • . • • • • • • • • • • • • . • . 16 1.3 The shifts of the 1980s ••••••••••.•.••..••.••.••••••• 18 1.4 The future of regional develQpment in the EC •...•..•. 20 2. THE SERVICE SECTOR, ITS ROLE IN REGIONAL DEVELOPMENT AND REGIONAL POLICIES ••••••••••..•.•..•••.•.•••••••••••••••. 22 2.1 Introduction • . • • • . • • . • . • • . • • • • • • • • • . • • • . • . • • . 22 2.2 Basic data on production and employment in services in Europe . • • • • . • . • • • • • • • • . • • • • • . • . • . • • • . • • . • • • • 22 2.3 Locational features of services ••.••••.•.•.•••••.•••• 24 2.4 The role of producer services in regional economic development • . • . • • • • • . • . • • • • • • • • • • . • • • . • • . • . 25 2.5 The regional development of services .•..•.••.•••••••• 26 2 .6 Concluding remarks • • • • • . • • . • • • • • • • • • • • • • • . • . • . • . • • . 28 3. CENTRAL AND EASTERN EUROPE: REGIONAL DEVELOPMENT ASPECTS • 31 3.1 The legacy of central planning ••••••••.••••.•.•.•••.. 31 3.2 Stimulating regional development in the 1990s .•.•.... 33 PART II: REGIONAL AND LOCAL DEVELOPMENT INITIATIVES: THE EXPERIENCE OF DEVELOPED MARKET ECONOMIES •.••••••••.•••••••••. 37 1. REGIONAL AND LOCAL DEVELOPMENT ORGANIZATIONS - THEIR ROLE IN MARKET ECOUOMIES •.•...••...••••••.•.•••..•.•..•.•.•.. 38 1.1 Introduction and overview ••.•••.•....•.....••.•...... 38 1.2 Economic development zones 39 2. REGIONAL DEVELOPMENT IN IRELAND - EXPERIENCE AND PROSPECTS 44 2. l Background . • . • • • • • • • . • . • • . • . • . • . • • • • • • • • • • • . • . 44 2.2 Aid to industry/incentives .••...•••.•.•••.....•...••. 44 2. 3 How the IDA works • . • • . • • • • . • • . • • • • • • . • . • . • . • . • 44 2.4 Regional industrial development ...••.•.••..••.••••••• 46 2.5 Industry in Ireland today ...•...••.•••••..••...•.•••. 46 2.~ IDA resources and return to state •...•..•....•••.•••• 47 2. 7 Future prospects • • • • • . • . • . • . • . • • • . • • • • • • • • . 47 iii 3. MARKETING A REGION AS A BUSINESS CENTRE: LESSONS FROM TtIB INDUSTRIAL PROMOTION OF NEUCHATEL •••••••••••••••.••••••• 48 3.1 Regional marketing •••••••••.•..••••••••••••••••••••.. 48 3.2 Marketing mix of a region •••••••••••••••••••..••••••• 49 3. 3 Conclusion • • • • • • . • • • • • • • • • • • • • • • • • • • • . • • • • • • • • • • • • • . 51 PART II I: THE ISSUE: REGIONAL DEVELOPMENT IN POLAND AND THE CONCEPT OF RDCS • • • • • . • • • • • • • • • • • • • • • • • • • • • • • . • • . • • • • • • • • • • • . • 5 3 1. RF.GIONAL DEVELOPMENT IN POLAND: PROBLEMS AND PROSPECTS 54 1.1 The problem: hyperconcentration and structural backwardness • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • . • • • 54 1.2 Strengthening regional development •••••••.••••••••••• 56 2. THE ROLE OF SOCIAL AND ECOLOGICAL CRITERIA IN REGIONAL DEVELOPMENT ••.••••••.••••••••••.••••••••••••..•••••••••. 60 3. REGIONAL DEVELOPMENT CORPORATIONS AND THE RESTRUCTURING OF REGIONAL ECONOMIES .••••••••••••••••.••••••.••••••••••••• 62 3.1 An approach to regional development ••••••••••.••••••• 62 3.2 The character, structure and tasks of Regional Development Corporations ••••••••••••••.•.•••••••••• 63 4. ESTABLISHING REGIONAL DEVELOPMENT CORPORATIONS IN EAST­ CENTRAL EUROPE: SOME PRACTICAL CONSIDERATIONS ••••••••.. 67 4.1 Introd'.lction 67 4.2 Definition of a consistent regional policy ..••.•••..• 67 4.3 Definition of objectives •.•••••.•••••.•••••••••••.... 68 4.4 Conceptualization ••••••.•..•.••••••••••••.••..••••.•• 69 4.5 Con cl us ion .......................................... 71 PART IV: REGIONAL AND LOCAL DEVELOPMENT I~ POLAND: INITIATIVES A?ID POTENT I AL . • • • • . • . • • • • . • • . • • • • • • • . • • • • • • • . • • • • . • • 7 3 1. NEW DIRECTIONS IN INDUSTRIAL DEVELOPMENT: THE MALBORK MACARONI PLANT CASE •.••••••••.•••••••.•••••.••.....••..• 74 1.1
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