otz21:aot11//0321 ìPg 1 Page ìì 2:19 12/4/2013 1 2013:Layout Montaz

Trade with Greece2013 THE ATHENS CHAMBER OF COMMERCE AND INDUSTRY Trade withGreece ANNUAL BUSINESS, ECONOMIC AND POLITICAL REVIEW to growth of Greece’s return brings thehope tough, 2013 Although Antonis Samaras, PrimeMinisterofGreece recession behind’’ ‘‘Our country is currentlyleavingtheworst ofthe No 44 2013 Montaz 2013:Layout 1 12/4/2013 2:22 ìì Page 2 20 dtra_030-2teespodo 12.x 2421 :3ì ae1 Page ìì 2:53 12/4/2013 21-29.qxd proedrou theseis editorial_2013:01-02 02-03 editorial T concerned. Thecurrentrealityistwofold. asfarGreece’sefforttoexitthecrisisis crucial We areinthefirstmonthsofanewyear, ayearthatwillbe private sector’s forces. private sector’s which can only come from the mobilization of the The countryisinurgentneed ofagrowthboost, room forfailure. and challengingundertaking.Evenso,thereisno current circumstances,thisisaverydemanding try evenhardertoachievethisgoal.Underthe Greece’s three-partycoalition government must employment, householdsandbusinesses. bringing tangiblebenefitstotherealeconomy: year when the sacrifices must start paying off, great extent, decided during 2013. This is the Which ofthetwosideswillprevailshallbe,toa approaches 27%. that rate jobless a and shutdowns company persevere forafifthyearinrow;thesideof ing; the side of the recession, which is bound to the pricethatsocietyandmarketarestillpay- But there is also another side to this coin: That of reduction ofuncertainty. national sentimenttowardsGreeceandthe deficit target,theimprovementofinter- such as the achievement of the 2012 he positivesideincludesdevelopments President ofthe ACCI Constantine Michalos, return togrowth hope ofGreece’s 2013 bringsthe Although tough, Intensificationoftheeffort toensure faster ● NSRF UtilizationofGreece’s Chambersof ● Implementationoftheplansregardingcre- ● Faster steps for the release of ETEAN ● ExpeditingofallactionsrealizedthroughEIB ● Fast and effective completion, within the year, ● Acceleration and completion of the banking ● Liquidity: that mustbeimplementedor, atleast,expedited: posals inregardtopolicies,reforms and actions Commerce andIndustryhasmadespecificpro- In thiscontext,the Athens Chamberof on thelocallevel. implementation ofliquidity-boostinginitiatives Commerce and Industry, for the more effective ation oftheHellenicInvestmentFund. Development) funds. (Hellenic Fund for Entrepreneurship and resources. the state’s obligationstotheprivate sector. of the procedure regarding the repayment of system’s recapitalization.

1 Trade with Greece 02-03 editorial_2013:01-02 theseis proedrou 21-29.qxd 12/4/2013 2:53 ìì Page 2

NSRF fund absorption, in order to enhance liq- on new dynamic sectors that capitalize on uidity and support employment. the country’s comparative advantages ● Methodical and systematic effort to secure ● Increasing the average size of Greek enter- adequate funds from the NSRF 2014-2020. prises ● As far as community fund utilization is con- ● Completing the opening of markets and pro- cerned, most EU countries give top priority to fessions enhancing the competitiveness of small and ● Revising the public contracts regime and medium-sized enterprises. Greece should also implementing the e-procurement system move in the same direction, even more seri- ously and methodically, in regard to the utiliza- Growth - Investment tion of both the current, and the next NSRF. ● Advocation to the EU regarding the need to Special emphasis should be placed on actions create Special Economic Zones. covering areas, such as: ● Acceleration of privatizations. ● E-commerce ● Realization of the plan regarding the formation ● ICT access of a Central Licensing Authority for strategic ● Networking and private investment. ● Education and training ● Continuation of the efforts to restart the motor- way projects within the first half of 2013. ● In this context, the Chambers’ existing infra- ● Pursuit of strategic partnerships for the devel- structures and expertise must also be utilized. opment of regional ports and airports. ● Launching of new PPP projects. Business environment ● Formation of a modern and competitive regime ● Establishment of a stable and competitive tax for the development of the logistics sector. regime, which will not only aim at revenues, ● Completion of the projects for the upgrading of but also at growth. rail transport, which is one of the prerequisites ● Prompt clarification of the legislation regarding for exploiting the country’s potential in the field land use. of transit trade. ● Further simplification of procedures, and reduction of the cost of setting up a business. ● Creation of Industrial and Business Parks. The Athens Chamber of Commerce and Industry ● More effective crackdown of illegal trade and is, and will continue to be, actively involved in all establishment of a dedicated illegal-trade con- efforts aimed at helping the country exit the crisis trol agency. and return to growth; and all this, of course, ● Utilization of the new investment incentives through specific proposals and demands for the law, with the aim of: formation of a more favourable business environ- ● Mustering new investments, emphasizing ment in the country. Trade with Greece Trade 2 04-05 Periexomena_2013:04-05 Periexomena 21-29.qxd 9/4/2013 3:53 ìì Page 2

ECONOMY

6. Our country is currently leaving the "No 44 2013 worst of the recession behind By Antonis Samaras, Annual Business, Economic and Political Review Prime Minister of Greece by the Athens Chamber of Commerce and Industry 8. PUBLISHER: Greece is caught in the deadly Constantine Michalos, ACCI President maelstrom of the Memorandum By Alexis Tsipras, President of the EDITORIAL SUPERVISION: ACCI Press Office, John Fotinias Coalition of the Radical Left and the 7-9 Akadimias str. Athens - tel 210 3646043 Coalition of the Left of Movements and MANAGING EDITOR: Ecology. Theodore Vamvakaris 10 . Greece is going to make it CONSULTING EDITOR: By Kostis Hatzidakis, Minister for John Triiris Development, Competitiveness, Infrastructure, Transport and Networks PHOTO: Costas Lakafosis 12. The strong dynamic of the marine Vassilis Tsakiroglou Tassos Tzanos economy can play a pivotal role in the national effort By Kostis Moussouroulis, Minister of TRANSLATION: Shipping, Maritime Affairs & the Aegean Nick Roussos LAYOUT - DTP: 14. Greece: On the road to recovery ALFA - OMEGA PUBLICATIONS LTD By Christos Staikouras, Alternate 80 Filikis Etairias Halandri, tel 210 6841889 Minister of Finance PRINTING: DIAMOND PRINT 16. The improvement of the investment climate comes as a recognition of our efforts By Stavros Kalogiannis, Alternate Å ôÞóéá åðé ÷åé ñç ìá ôé êÞ, ïéêï íï ìé êÞ êáé ðïëé ôé êÞ Ýêäï óç ôïõ Minister for Development, Å ìðï ñé êïý êáé Âéïìç ÷á íé êïý Åðé ìå ëç ôç ñß ïõ Áèç íþí Competitiveness, Infrastructure, Transport and Networks ÅÊ ÄÏ ÔÇÓ: Êùí óôá íôß íïò Ìß÷á ëïò, ðñüå äñïò ÅÂÅ Á 18. Market reforms as an answer to the Å ÐÉ ÌÅËÅÉÁ ÅÊÄÏ ÓÇÓ Ãñáöåß ï Ôýðïõ ÅÂÅ Á, Greek crisis Á êá äç ìß áò 7-9 ÁèÞ íá ôçë 210 3646043 By Athanassios Skordas, Deputy Áñìüäéïò: ÃéÜííçò ÖùôåéíéÜò Minister for Development, ÁÑ ×É ÓÕ ÍÔÁÊÔÇÓ - ÓÕÍÔÏ ÍÉ ÓÔÇÓ ÅÊÄÏ ÓÇÓ: Competitiveness, Infrastructure, Èï äù ñÞò Âáìâá êÜ ñçò Transport and Networks ÓÕÌÂÏÕËÏÓ ÅÊÄÏÓÇÓ: ÃéÜííçò ÔñéÞñçò 20. Growth in Greece: The Road Ahead By Notis Mitarachi, Deputy-Minister of ÖÙÔÏÃÑÁÖÉÅÓ: Development Êþóôáò Ëáêáöþóçò Âáóßëçò Ôóáêßñïãëïõ ÔÜóóïò ÔæÜíïò

ÌÅ ÔÁ ÖÑÁÓÇ: Íß êïò Ñïýóóïò ÄÇÌÉÏÕÑÃÉÊÏ - ÇËÅÊÔÑÏÍÉÊÇ ÓÅËÉÄÏÐÏÉÇÓÇ: ÁËÖÁ - ÙÌÅÃÁ ÅÊÄÏÓÅÉÓ ÅÐÅ ÖéëéêÞò Åôáéñåßáò 80 ×áëÜíäñé, ôçë 210 6841889 ÅÊÔÕÐÙÓÇ: DIAMOND PRINT A.E. 04-05 Periexomena_2013:04-05 Periexomena 21-29.qxd 9/4/2013 3:53 ìì Page 3 Trade with Greece

22. We are not born to wait. We are born to CONSTRUCTION act By Christina Sakellaridis, President of the 92. Motorways become the linchpin of major Panhellenic Exporters Association and the project policy Export Credit Insurance Organization By Panayotis Efthimiades

24. A change of climate for Greece AGRICULTURE contents By Nectarios V. Notis 98. Greece’s soil bears fruit of unique quality 32. There are also positive signs for 2013 – it also bears opportunities By Athanassios H. Papandropoulos By Athanasios S. Tsaftaris, Minister of Rural Development and Food 35. Attracting investment: One of the government’s top priorities 100. Reforming Agriculture: Quality, By Evi Papadosifakis Productivity and Exports By Maximos Charakopoulos, Deputy 42. Industry 2013: Minister of Rural Development and Food The challenges remain, but there are a few silver linings TOURISM By Haris Floudopoulos 104. The growth of tourism is Greece’s only 50. Positive messages for retail trade option for boosting the economy and By Thanassis Heliodromitis ensuring social cohesion By Olga Kefalogianni, Minister of Tourism 58. The aim is to make full use of EU funds By Kostas Voutsadakis 106. Our vision for 2020 sees Tourism playing a central role in the effort to promote 66. Greek exports: The dynamic call Greece’s economic and social develop- of the future ment By Leonidas Tsaoulas By Dr. Andreas A. Andreadis, SETE President 74. A new road map for exports By Nickos Ypofantis 108. Investment opportunities in Greek tourism By Artemis Spilioti ENERGY 115. Medical tourism in Greece 82. Energy and natural resources contributing By Ilias Iliopoulos to growth By Makis Papageorgiou, Deputy Minister for the Environment, Energy and Climate CULTURE Change 122. Cultural Agenda 84. Energy market priorities By Nicoleta Makri By Christos Colonas

STATISTICS

130. By Anna Diana 10-11 Master interview_XATZIDAKIS:06-07 Karamanlis 21-29.qxd 9/4/2013 3:37 ìì Page 1 06-07 Master interview_SAMARAS:06-07 Karamanlis 21-29.qxd 9/4/2013 4:20 ìì Page 2

Our country is currently leaving the worst of the recession behind

This means a lot for both our citizens, and the businesses that wish to make investments. Obviously, this required huge sacrifices from the part of the Greek people. But now we are on the final run.

By Antonis Samaras, Prime Minister of Greece

here will be no more austerity measures. Since 2010, accumulated state debts to the pri- This is not a time for hesitation. This is vate sector have reached €9.6 billion. The effort Tthe time for decisively keeping on the to repay these debts was launched in January, path of exiting the crisis. Efforts such as cracking using part of the loan tranche that was recently down on tax evasion, promoting structural disbursed. reforms –and there have been many such Therefore, I believe that liquidity is gradually reforms– and streamlining the public sector are being restored and, for this reason, lending to among our priorities, and I would say that this both households and businesses must be strategy rests on two pillars. resumed. However, there are also other enter- Liquidity is the lifeblood of the economy. And we prise-enhancing procedures that breathe life into are striving, under extremely harsh conditions, to the market; especially into small and medium- ensure the prerequisites for liquidity. First, sized enterprises, most importantly those fea- through the recapitalization of Greece’s banking turing a high degree of specialization and extro- system, whose completion will guarantee the version. banks’ viability. Second, through the restoration of And it is my belief that such enterprises do not confidence, which enhances the flow of savings require huge funds, but are mainly based on the back into Greek banks. A process that is already expertise, knowledge and vision of the people underway. According to the latest available data, who are running them. I would say that Greece is deposits, which stood at approximately €135 bil- the country with the greatest proportion of busi- lion when this government took office, are now nesses to population in Europe. Thus, our agree- approaching €170 billion. This is a vote of confi- ment with the European Investment Bank will pro- dence that must be sustained. And, third, through vide these enterprises with a total of €1.44 billion,
the repayment of the state’s debts to its citizens. of which one billion will be disbursed in 2013. Trade with Greece Trade 6 06-07 Master interview_SAMARAS:06-07 Karamanlis 21-29.qxd 9/4/2013 4:20 ìì Page 3

These funds are already being utilized, and a injection of €1 billion by the ETEAN into SMEs. special system for monitoring these financing And, of course, there is also the NSRF that, owing flows is being created. And what is the reason for to the fiscal situation, is one of the economy’s fun- creating such a system, in collaboration with the damental growth drivers. EIB? To make sure that the money is actually And I will immediately come to the second pillar of being channelled to the market, to the real bene- our effort, which is to exonerate entrepreneurs, ficiaries, to the so-called real economy. entrepreneurship and competitiveness. At the same time, given that the facilitation of for- We have adopted new, simpler market and public eign trade is also one of our objectives, and health regulations, in order to ensure that more based on an agreement reached with the businesses can distribute their products at more European Investment Bank and the recent assur- points of sale, thus enhancing competition, and ances from the latter, we are launching, in late we lifted all remaining obstacles, in order to April, a programme for the provision of business- ensure the full opening of the market for small es with revolving guarantees amounting to €1.5 and medium tonnage road transport. We are billion per year. Why? To assist their international introducing the new investment law. What does trading activities. And this way we will deal with the law stand against? Red tape. What does it another problem we are currently facing: the need stand for? Speed and transparency. This new law to support Greece’s export activities. establishes a central licensing authority for strate- At the same time, the Hellenic Fund for gic and private investment, and, as I have said Entrepreneurship and Development (ETEAN) is many times before, I want Greece to stop being a launching an effort to support SMEs through the “red tape” and become a “red carpet” country for “Business Restart” programme, with the participa- entrepreneurs. This means a friendly attitude and tion of 14 large and small banks and with the aim a willingness to facilitate entrepreneurship. We of providing the market with working capital loans have a large-scale privatization effort underway, totalling €450 million, at interest rates of less than which will create new jobs and provide a new 5%. ETEAN is also contributing, by means of boost to the economy, leading to its recovery. another lending facility amounting to €316 million, And, in any case, we continue to pursue a specif- to the provision of investment loans for targeted ic plan of international collaborations, such as activities, with the participation of five banks. those with the World Bank and the OECD, in Apart from the above, ETEAN has also launched order to deregulate further sectors of the econo- a €90 million programme aimed at facilitating the my, lift barriers to entry and enhance competition issuance of letters of guarantee by banks, which, – all in a short period of time. In a nutshell, we are as we all know, is a huge problem that has per- trying to make the Greek economy competitive, sisted for too long. extrovert and business-friendly. And this effort In addition, through the €50 million Credit also includes the tax system reform that is being Guarantee Fund that we are establishing, we will planned for June. be able to provide guarantees of up to €150 mil- We are working, and we will continue working, lion for the extension of investment purpose, and towards establishing the necessary, strong, and working capital, loans. The relevant agreements friendly business environment, as well as towards with the banks are currently being signed and we promoting business partnerships that will lead to are soon expecting this Fund to become opera- recovery, growth and a better prospect for the tional. All of the above amount to a total liquidity future. Trade with Greece Trade 7 08-09 Master interview_TSIPRAS:06-07 Karamanlis 21-29.qxd 9/4/2013 3:40 ìì Page 2

Greece is caught in the deadly maelstrom of the Memorandum

It is now self-evident: the supposed solution to the crisis is the crisis itself: not only fiscal, but also humanitarian.

By Alexis Tsipras, President of the Coalition of the Radical Left and the Coalition of Left Movements and Ecology

fter three years of implementing the World Economic Forum for 2010, to the 96th A Memorandum, even its conceivers have place, among 144 countries, in 2012. been convinced that it was a mistake. At the same time, the Memorandum is creating con- Nonetheless, this doesn’t seem to persuade its ditions of humanitarian crisis. Unemployment has local implementers, who are, apparently, more entrapped almost one third of the labour force, and royal than the king. Mr. Samaras did not confine marches on unchecked. In 2011, 23% of the popu- himself to approving this mistake. He has been lation lived in poverty. Instead of being increased, in supporting it with the zeal of a neophyte and has order to help reverse the recession and help the been implementing it in a high-handed manner. economy recover, public investment is being cur- He is legislating by means of legislative decrees. tailed in an effort to catch fiscal targets. As noted in He is arresting, torturing, drafting people. the annual report of the Institute of Labour (INE) of Government repression and Memorandum-based the Greek General Confederation of Labour violence: these are the two pillars of the govern- (GSEE) on Greek economy and employment in ment’s policy; the two-headed monster of the 2012: “In this sense, it is worth noting that, as far as Samaras coalition government. the Greek economy’s exit from the crisis is con- The Memorandum has failed in its stated objec- cerned, the choice is not between austerity or tives. Recessionary austerity has already ren- default, which embroils our country in a vicious spi- dered the public debt, as a percentage of GDP, ral of long-term impasses. On the contrary, the not only unsustainable, but completely beyond choice is between recession or growth, through the any control. It has dragged the country’s interna- implementation of effective economic, redistributive tional competitiveness, along with salaries, unit and social measures, in order to disentangle labour costs and workers’ rights, to the bottom: Greece’s economic and social fabric from the pro-
from the 83rd place in the global ranking of the longation of the impasse and the recession”. Trade with Greece Trade 8 08-09 Master interview_TSIPRAS:06-07 Karamanlis 21-29.qxd 9/4/2013 3:40 ìì Page 3

The proposal of SYRIZA-EKM is clear and offers the tax immunity of the rich. With the electron- the only way out: ic asset registry at its core; that is, the regis- tration of every taxpayer’s movable and real ● Immediate annulment of the Memorandum, property. Not only in Greece. But also abroad. with the aim of putting an end to austerity, and ● A new political system. Free from the Hydra- promotion of a national plan for the economic, headed monster of cronyism and enmeshed social and ecological reconstruction of the interests; liberated from the oligarchs’ cartel. The country, as well as practice of owning multiple media will be termi- ● Renegotiation of the loan agreement, with the nated; along with the forays of state contractors aim of erasing the terms that are contrary to in the field of the media. We will cut the umbilical national sovereignty, and convocation of a cord that connects the political system with the European conference, along the lines of the media owners’ parasitic state within a state. one that took place in London in 1953 in order ● A new public administration. For the full to settle Germany’s debt. If such a conference restructuring of the state’s organization, based is not possible to hold: a bilateral agreement on social reciprocity, the reduction of red tape with lenders, concerning a moratorium on debt and the provision of citizens with effective servicing, a large debt haircut and repayment services. Also based on sound and productive of the remainder under a “growth clause”. private enterprise. The main priority will be to wean public administration off partisan ties, The national plan for reconstruction includes favouritism and the lack of meritocracy. three additional pillars: 3.The productive reconstruction and develop- 1. Socially equitable and sustainable fiscal ment of the economy. Based on activities that consolidation, focused on the increase of public facilitate the adjustment of productive specializa- revenues as a percentage of GDP to the euro tion, the containment of the trade deficit and the zone average. enhancement of the country’s economic inde- 2. The promotion of the sweeping, progres- pendence. It will be focused on, and will direct sive reforms that the country needs in order to public investment to, five clusters of production escape, once and for all, from the mire of this and growth: agrifood, tourism, energy, green revolving recession: industry, and construction.

● A new tax system. Fair, simple, transparent This is the outline of the reconstruction pro- and effective. That will expand the tax base. gramme proposed by SYRIZA-U.S.F; the pro- That will restore tax justice and put an end to gramme that will rebuild Greece. Trade with Greece Trade 9 10-11 Master interview_XATZIDAKIS:06-07 Karamanlis 21-29.qxd 9/4/2013 3:57 ìì Page 2

Greece is going to make it

2012 was the year Greece stood on its own two feet. Following the June election and the formation of a viable government, strong political will, the agreement reached with our Eurogroup partners and the IMF, and the sacrifices made by the Greek people precluded the so-called “Grexit”. Our deficit now ranks as the 6th or 7th lowest in the Eurogroup. At the same time, a multitude of reforms and structural By Kostis Hatzidakis, Minister for Development, changes in labour, the markets and the Competitiveness, state, demonstrated the government’s Infrastructure, Transport and Networks resolution to move into a new chapter.

he year ahead will not be an easy one. ing to €9 billion, €7 billion of which will be paid by 2013 is the year our ministry must inten- June and are expected to boost the retail market. Tsify its efforts in three distinct sectors: Our ministry, on the other hand, strives to utilize reinforcing liquidity in the market; restarting a all available means for promoting liquidity. In string of major infrastructure projects; and push- cooperation with the EIB we have introduced ing ahead with all necessary structural reforms €1.44 billion worth of SME support projects; and that will help make our economy competitive and guarantees of up to €500 million to strengthen our country investment-friendly, and promote imports and exports. We have announced specific entrepreneurship. action to release frozen assets of approximately The agreement reached with the Eurogroup is of €700 million from the state SME guarantee fund key importance in regard to the first objective, liq- (ETEAN) and we are actively trying to simplify uidity, as it leads to the recapitalization of the procedures and improve the absorption rate banking system and helps bring back savings. At (already well above the EU average) of EU the same time, it allows the government to repay Structural Fund aid. Another €456 million have outstanding debts to private enterprises amount- been earmarked for boosting enterprises in trade
Trade with Greece Trade 10 10-11 Master interview_XATZIDAKIS:06-07 Karamanlis 21-29.qxd 9/4/2013 3:57 ìì Page 3

& commerce, manufacture and tourism, in collab- promote entrepreneurship we have taken meas- oration with the country’s 13 regions. ures designed to reduce administrative costs for Our second priority, infrastructure projects, are businesses, remove entry barriers and reduce set to go ahead, as we have agreed with the con- distortions. A series of new market and health reg- cessionaires on the four major road construction ulations are expected to allow more businesses projects and are negotiating with the banks in sell more products from more outlets. The new order to restart the projects by spring 2013. The Market Code includes the extension of the sales Athens Metropolitan Subway continues to expand periods, as well as the optional Sunday opening as scheduled, and so does the tramway in of small stores. Piraeus, whereas the Thessaloniki subway proj- On the privatisations front, the new bill to restruc- ect is still on. 14 regional infrastructure projects, ture and update the Civil Aviation Authority will help worth €340 million, have been auctioned or are in us start the procedure of privatising regional air- progress, while the waste management public- ports through long-term leases. The state railways private partnership projects in 6 regions are also (OSE) have been split into two companies, an oper- underway. ating company and the owner of the infrastructure As for structural changes, we are already apply- and materials rolling stock, and all regulations ing the policies of the first pillar of our National required for settling the issue of state aid handed Exports Strategy and shall present the other two out in the past have been adopted. The same pro- pillars, on widening and promoting exports, within cedures will be followed in privatising the postal the first quarter of 2013. Furthermore, the new service (ELTA) and the two major water utilities. Investment Promotion Bill has passed through Obviously the road ahead is long and difficult. We public consultation and shall be soon tabled to must remain focussed on the overall purpose of Parliament. Among others, it provides for a single reviving our economy and definitively leading our licensing authority, which is expected to cut down country away from the recession. It is clear that, on red tape, as well as for computerised monitor- under the circumstances, it is not the government ing, which is expected to increase transparency. that will succeed at the end of the day – it is In order to reinforce competition in the market and Greece. Trade with Greece Trade 11 12-13 Master interview_MOUSSOUROULIS:06-07 Karamanlis 21-29.qxd 9/4/2013 4:03 ìì Page 2

The strong dynamic of the marine economy can play a pivotal role in the national effort

In 2012, and especially following the June elections, Greece managed to overcome the course it seemed, until then, fated to follow.

By Kostis Moussouroulis, Minister of Shipping, Maritime Affairs & the Aegean

hanks to the persistent and systematic ● there are over 1,300 shipping companies efforts of the government and the prime involved in international shipping with regis- Tminister personally, the Greek economy’s tered headquarters in Greece; financing has been secured, confidence in the ● the positive performance of shipping in relation country has been restored, its image overseas to the rest of the Greek economy is proof of the has improved and the national reconstruction fact that shipping is the only sector of the econ- effort is being realized with the implementation of omy in which unemployment has not become the necessary reforms. a pandemic.

The strong dynamic of the marine economy can On the other hand, Greece’s most important play a pivotal role in this national effort, because comparative advantage is its positioning and Greek-owned shipping: geography. It boasts a key position within the ● holds the top position internationally, with broader area of the Balkans and the eastern 97.5% of its activities firmly focused on the Mediterranean, acting as the gateway between international shipping trade; the East, Europe and the West and ports that ● the Greek-owned fleet numbers 3,325 ships, operate as entry and transit points not only to the which represent 15% of global tonnage and an Greek mainland, but also to neighbouring coun- impressive ship age average of only 10.5 years; tries to the north and east. Sixteen thousand kilo- ● additionally, and despite negative develop- metres of coastline, one thousand two hundred ments relating to transportable trade in the islands, four thousand eight hundred islets – the global marine sector, the Greek ship register country with the longest coastline and the largest
numbers almost 2,000 ships; number of islands in the Mediterranean basin. Trade with Greece Trade 12 12-13 Master interview_MOUSSOUROULIS:06-07 Karamanlis 21-29.qxd 9/4/2013 4:03 ìì Page 3

By using shipping and ports as its main policy Greek vessels to visit, and stay in, Greek tools, the Ministry of Shipping & the Aegean is waters. committed to actively and effectively contributing ● The streamlining of the existing ship registra- to the national effort for the recovery of the growth tion process and the ship registration institu- and development process and the fight against tional framework, in accordance with current unemployment. national legislation. ● The promotion of the international position and Within this framework, the ministry’s main actions competitiveness of the Greek shipping register. are: ● The modernization of maritime training and the ● The formulation of a national strategy for sup- preparation of a programme for attracting porting Greece’s shipping grid, the business young people to marine professions. development and specialization of ports based ● The promotion of legislative reforms in marine on business criteria, the segregation of port tourism, in close collaboration with the co- administration and port operation functions, responsible ministries (of Tourism, of the the attraction of private investment capital. Environment, Energy & Climate Change, of With the application of this new strategy Greek Development & Competitiveness, of ports will change, they will become free to dis- Infrastructures, Transport and Networks). play their strengths, to take advantage of the great opportunities now becoming apparent and become vehicles for development, as well The sea and shipping constitute a privileged area for as a guarantee of prosperity for all parties the development of Greek business activities. involved. Relevant facts and figures, as well as historical expe- ● Ensuring a stable institutional framework for rience have shown that the marine economy can safeguarding a climate of trust for the shipping help Greece overcome the difficulties, develop a new companies that are already established, or perspective for the exploitation/management of wish to relocate, in Greece. national resources and cultivate a new business cul- ● The establishment of a friendly institutional ture on a par with the demands being formed on the framework aimed at attracting foreign and European and international levels. Trade with Greece Trade 13 14-15 Master interview_STAIKOURAS:06-07 Karamanlis 21-29.qxd 9/4/2013 4:14 ìì Page 2

Greece: On the road to recovery

Greece has left behind a long period of enormous anxiety and uncertainty. Since the June 2012 elections, the country has entered a new period of stability; a period that brought back the confidence about Greece’s future in the euro area. By Christos Staikouras, Alternate Minister of Finance

uring the first six months of the coalition particular, the structural deficit. To that end, the government’s life, Greece managed to Ministry of Finance has already implemented spe- Dupdate and put back on track, in cooper- cific institutional and structural measures in order ation with its international partners, the second to create a solid framework of fiscal rules and pro- Economic Adjustment Programme, restore the cedures that safeguard the achievement of the vital funding from the Support Mechanism (by Medium Term Fiscal Strategy’s targets. This effort also increasing the funds of the scheduled dis- has already yielded results. At the end of 2012, bursements) and enhance the sustainability of we over-achieved the budget’s targets in terms of public debt. Particularly, the new government the budget balance and the primary budget bal- managed to create the prerequisites for the ance. It should be noted, though, that the deep design and implementation of a strategic plan for recession in the domestic economy creates head- exiting the current crisis. More importantly, winds and reduces the effectiveness of the fiscal Greece has restored its reputation as a credible consolidation effort. counterpart in the eyes of our international part- On the other hand, we are pursuing the imple- ners. The cornerstone of our plan is pairing fiscal mentation of specific measures and policies that adjustment with economic growth, in order to focus on reversing the recession and increasing enable our economy escape from the vicious cir- the liquidity of the economy, addressing the cle of deficits and recession. deficit’s cyclical dimension. In this framework, the On one hand, we are decisively tackling public two major priorities of the government are (a) to spending and fiscal policy rationalization through continue enriching the pursued economic policy
initiatives aimed at decreasing the fiscal and, in with measures and actions aimed at the, what we Trade with Greece Trade 14 14-15 Master interview_STAIKOURAS:06-07 Karamanlis 21-29.qxd 9/4/2013 4:14 ìì Page 3

call, “restart of the economy”, and (b) to acceler- “Doing Business” Report has improved by 22 ate the implementation of structural changes that places compared to last year and the current have been delayed, and the promotion of a large account deficit for the period January- scale privatization programme. These measures November 2012 has been reduced by 73% vis- and policies will allow the Greek economy to à-vis the corresponding period of 2011. escape from the low growth/high deficit trap and ● The economic sentiment is steadily improving, pave the way to recovery. as in December 2012 the relative indicator During those few months in office, the new govern- reached its highest level for the last 20 ment has created the conditions for gradually months, while the most important difference is reversing the economic climate and facilitating the that, in relation to the euro area, the gap is the economy’s recovery. We already have clear signs smallest since October 2009. and indications that we have left the deadlock of the ● Savings are gradually returning to the Greek previous years behind. These signs that allow the banking system. The total amount of deposits formation of positive expectations are: has increased by approximately €15 billion ● The execution of the State Budget for 2012, since mid-June 2012. which, despite the deeper-than-expected ● The restructuring of the banking system has recession, is considered at least satisfactory, commenced through mergers and the creation and by all means better, than the Programme’s of new, large banking institutions. The recapi- targets. talization of the core banks, which will be com- ● The cost of servicing the public debt has pleted in the first half of 2013, will create sound declined significantly, as the interest rate on the financial institutions that will play a significant recent issue of six-month T-bills by the Greek intermediating role in the economy and will government was the lowest since the beginning propel growth. of 2010. Moreover, the spread of the Greek 10Y ● The strategy to attract foreign investments has bonds has been falling dramatically since the yielded its first results, as foreign interest for June 2012 elections (12.06.2012: 2,788 bps investing in Greece has increased, with many and 29.1.2013: 848 bps). foreign companies participating in the privati- ● The Greek stock market is showing signs of zation programme and many others conclud- recovery, as the period June 2012-January ing deals with Greek companies. 2013 saw a significant improvement in investor sentiment (the ASE General Index rose from All these signs suggest that we are on the right 476 to 1,005 bps). track. Much more has to be done. It is true that ● Inflation is de-escalating, as the harmonized Greece is currently at a crucial junction on its way consumer price index, despite the distortions to economic and social recovery. The first signifi- in the markets, stands at its lowest level since cant and necessary steps have been successfully October 2009. taken, creating the prerequisites for economic ● The competitiveness of the economy is growth. The new government is determined to strengthened and the business environment is take the next decisive steps towards economic reinforced, as the country’s ranking in the recovery and development. Trade with Greece Trade 15 16-17 Master interview_KALOGIANNIS:06-07 Karamanlis 21-29.qxd 9/4/2013 4:15 ìì Page 2

The improvement of the investment climate comes as a recognition of our efforts

The crisis of the economy has seriously affected the lives of Greek citizens; however, the real economy is showing signs of recovery. The December 2012 agreement on reducing Greece’s debt confirms the abidance of the country in the euro zone and puts an end to all conversations about the opposite.

By Stavros Kalogiannis, Alternate Minister for Development, Competitiveness, Infrastructure, Transport and Networks

onetheless, what is most important is being the agreement between Hewlett Packard, that it ensures vital resources for market Trenose and Cosco, for the distribution of Hewlett Nliquidity. The support of the three-party Packard’s products in Central and Eastern government by all forces that believe in the coun- Europe and North Africa. At the same time, inter- try’s European perspective provides the political national organizations such as the World Bank stability required for the realization of the neces- Group improved Greece’s competitiveness rank- sary reforms. ing by 22 places, in recognition of the progress The full support of our European partners and the that has been achieved. improvement of the investment climate come as a The main objective of the government of Antonis recognition of our efforts, as indicated by a series Samaras is to convert Greek economy to a com-
of recent trade agreements, the most notable petitive economy, friendly to investment and Trade with Greece Trade 16 16-17 Master interview_KALOGIANNIS:06-07 Karamanlis 21-29.qxd 9/4/2013 4:16 ìì Page 3

entrepreneurship. In order to achieve this, the ● the provision for advance payments of up to government undertook a series of actions with 10% for co-funded projects; specific goals and timetables: ● the reduction of guarantees in public works. ● The primary deficit has almost been eliminated. It is anticipated that, by the end of 2013, the Furthermore, we enhance competition and facili- primary deficit will be the sixth lowest in the tate entrepreneurship by: euro zone. ● adopting new, simpler market inspection poli- ● Significant changes in the labour market have cies and health regulations that will allow com- led to a more flexible and competitive economy. panies to increase sales; ● In cooperation with the European Investment ● adopting additional measures, in order to reduce Bank, a €1.44 billion liquidity package has the cost of setting up a business by 50%, been secured for Greek SMEs, and the dis- ● Collaborating with the World Bank Group, in bursement of the funds to beneficiaries has order to provide the know-how for the promotion already begun. of entrepreneurship and competitiveness, which ● The disbursement of funds from the National can lead to the development of new jobs, Strategic Reference Framework is continuously ● presenting the Parliament with a bill on strate- improving: the objectives for the second half of gies and private investments, including provi- 2012 have been achieved, while the current sions for the establishment of a “Central absorption rate is above the EU average. Licensing Authority”, as well as simpler proce- ● Public projects have been given priority, in dures for dealing with bureaucracy and electron- order to support the construction sector: work ically monitoring the investments’ maturity on four major highways is expected to restart degree. in a couple of months, the construction of the subway in Athens and Thessaloniki is being As far as privatizations are concerned, an out- continued, the construction of Piraeus’ tram standing and far-reaching plan is being promoted, has already started. At the same time, major to help establish a sound production base. railway and port projects are underway. During ● The new strategy for the development of 37 the past six months, the procurement of proj- regional airports through concession agree- ects budgeted at a total of €2.2 billion has ments has already been presented. been completed, of which €500 million have ● An ambitious program for the exploitation of already been contracted. the Greek state’s property for a range of uses is being promoted. In order to further support the construction industry, ● The process for the privatization of public com- which has been facing serious problems, we panies, such as Hellenic Post (ELTA), EYDAP undertook significant legislative initiatives, such as: S.A. and Egnatia Odos S.A., is being initialized.

● the implementation of the National Electronic I strongly believe that with hard work, responsibility Public Procurement System, which will lead to and cooperation between all related stakeholders, full transparency, cost reduction, and the we can soon change the current situation for the development of new jobs; better. Trade with Greece Trade 17 18-19 Master interview_SKORDAS:06-07 Karamanlis 21-29.qxd 9/4/2013 4:24 ìì Page 2

Market reforms as an answer to the Greek crisis

The economic crisis in which we find ourselves in Greece presents us with an opportunity to rectify the course we have taken, in order to both recover, and rejoin the other highly developed economies, as quickly as possible.

By Athanassios Skordas, Deputy Minister for Development, Competitiveness, Infrastructure, Transport and Networks

ndeed, the government is trying to reverse our impeded the country’s economic growth. Let me country’s development model, from one which emphasize on: I is based on demand to one that is driven by ● The elimination of administrative barriers to production. It is imperative that our economy market entry. becomes more supply-oriented. We have decided ● The liberalization of regulated sectors. to apply ourselves in ensuring that Greece may ● The simplification of the permitting and once again become a place where wealth is cre- approval process. ated, as opposed to a country that borrows in ● Market legislation reform. order to consume. ● The introduction of a transparent system for The structural reforms that are taking place in the public procurements, which is going to be economy are unprecedented, considering the implemented via an electronic platform. shortness of time in which they are implemented. In the course of the last seven months special The message is clear. In a nutshell, the govern- attention was paid to market-related issues. I ment has been working towards building an wish to stress the fundamental institutional attractive, business-friendly environment, while changes we undertook in order to offer enterpris- showing no tolerance to anti-competitive prac- es a breathing space and make the country more tices. attractive for investment, thus improving the We strive so that Greek products may find a proper chances of getting Greece out of the current situ- place in the world market. We have chosen to
ation. We removed nearly all obstacles that employ a total quality approach with regard to our Trade with Greece Trade 18 18-19 Master interview_SKORDAS:06-07 Karamanlis 21-29.qxd 9/4/2013 4:24 ìì Page 3

products. Many of our food industry goods, whether produced in the primary or the process- Greece is chang- ing sector, are renowned for their superior char- ing. The serious cri- acteristics and nutritional value. Similarly, our “ sis we have experienced tourist product is of excellent quality, given that the country is endowed with ideal climate condi- has forced us, has moti- tions, especially for senior citizens from the rest of vated us, to run a kind of marathon the EU. I suppose that pension fund managers and planners across the member-states will see in order to get ahead of it. The run the advantages of this dimension. has not come to an end, but the

Greece is changing. The serious crisis we have worst is behind us. experienced has forced us, has motivated us, to ” run a kind of marathon in order to get ahead of it. The run has not come to an end, but the worst is behind us. The country is succeeding and proving wrong all those who predicted an imminent doom signs that the exit from the crisis is coming into and a Grexit, which would implode the euro zone sight. Yet, this optimistic mood does not permit and disrupt the world economy. the government any relaxation in its efforts, espe- cially since the solution to our problem will not be The positive messages regarding the improve- found in the catchy phrases or the promises ment of the country’s finances, the impressive made by those who will never be asked to fulfil decrease in the spread between Greek and other them, but at the problem’s root; namely, the need bonds, in conjunction with the inflow of savings for reforms in all sectors. back to the banks that we are now witnessing and the achievement of near-zero inflation rate, are all And this we are carrying out, day in, day out. Trade with Greece Trade 19 20-21 Master interview_MITARACHI:06-07 Karamanlis 21-29.qxd 9/4/2013 4:26 ìì Page 2

Growth in Greece: The road ahead

The strong political willpower shown by the government in closing the package of measures and reinstating monetary stability is now creating the necessary political environment for our country to make the required structural changes. Changes not initiated for decades must take place now, to bring change to the country’s productive model and existent mentality, with a final aim of bringing the country back to growth.

By Notis Mitarachi, Deputy-Minister of Development

ut the picture is broader. In order to ambitious plan, pumping into the economy, for the achieve this recovery and attract new current year, NSRF funds amounting to €3.89 bil- Binvestment, the following prerequisites lion, mobilizing agreements with the EIB (of need to be met: First, monetary security; second, approximately €1 billion), granting payments the provision of liquidity to the real economy; (exceeding €600 million) from the Investment third, structural changes, of course; fourth, a dif- Law, and freeing money from the Hellenic Fund ferent mentality, which will facilitate investment; for Entrepreneurship and Development in order to fifth, the creation of catalysts for development, reverse the negative climate in the market. which will enhance the comparative advantages In regard to structural changes, our aim is to of our country and attract the interest of investors. transform our country from a “red tape” country, The decisions of the Eurogroup, regarding the pro- riddled with bureaucratic obstacles to investment, vision of our country with aid amounting to €52.5 into a “red carpet” country, decisively helping and billion, helped us achieve monetary security and supporting investors. are expected to significantly contribute to the pro- To this end, we have already formulated the vision of liquidity to the real economy. National Strategy for Enhancing Exports, in order In order to further boost liquidity, the Ministry of for the characteristics of extroversion of the
Development is called upon to materialize an Greek economy to be activated. Trade with Greece Trade 20 20-21 Master interview_MITARACHI:06-07 Karamanlis 21-29.qxd 9/4/2013 4:26 ìì Page 3

Attracting investment constitutes the greatest Organization of Football Prognostics [OPAP] challenge for the government: private invest- and the Public Gas Corporation [DEPA]), while ments; small, medium, and large; Greek and for- public-private partnerships in waste manage- eign – given that the public sector will not create ment are progressing at a satisfactory pace. any jobs in the following years, since it does not Another example is the exploitation of the Attica possess the resources to do this, and anything Seaside Front, with a project life-span of 50 else stated on the matter wanders far from reality. years. It includes the administration, manage- A good illustration of this philosophy is the new ment and exploitation of public and private prem- Investment and Development Law –a draft law ises in the area. In addition, there is the project of which aims at materializing and simplifying the the exploitation of 37 regional airports of our procedure of approving investments– which pro- country –their transformation from mere take-off motes the procedure of residence permit licens- and landing sites to poles of regional develop- ing for foreign “strategic” investors that are third- ment– as well as the re-opening of large motor- country citizens, as well as for their personnel and ways, which are expected to contribute to the family members, with the aim of ensuring their immediate creation of 30,000 jobs, and about 50 work/employment in entities of strategic invest- to 60,000 jobs in the near future in more remote ment materialization. regions. Further relative regulations will be effective for In Greece, we have achieved much during the those foreign citizens, and the members of their last few months. And this has been done thanks families, who purchase and acquire residential to the effort and toil of the Greek people. With a property in our country. Moreover, all necessary disproportionate cost for Greek society, since, action is taken to disentangle investment plans during the period 2010-2012, measures amount- locked in the drawers of Greek bureaucracy. ing to €49 billion were taken, in order to curb the Finally, the issue of developing catalysts: a deficit by €23 billion. good example is the exploitation of public prop- A lot remains to be done to bring about changes erty. Indeed, procedures have begun in regard in the productive model, as well as the mentality, to the major privatization projects. Tight time of the country, in order to welcome recovery and schedules are already being implemented (i.e. prosperity. Trade with Greece Trade 21 22-23 Master interview_SAKELLARIDIS:06-07 Karamanlis 21-29.qxd 9/4/2013 4:29 ìì Page 2

We are not born to wait. We are born to act *

The publication you are holding in your hands is a yearly Guide for Trade with Greece. Many may wonder over what roads or barriers one would have to overcome while trading with Greece in a time of deep recession. For the past three years there has been a perception of a Greek economy in ruins, of a country in distress. There has been a lot of scepticism whether it is safe or wise to do business in Greece.

By Christina Sakellaridis, President of the Panhellenic Exporters Association and the Export Credit Insurance Organization

s a matter of fact, no one could blame tural products in EU and OECD countries. In those who thought that way. It was fact, Greece is the No. 1 supplier of 35 agricul- Abecause they have heard only one side of tural products in 14 countries. Greece boasts the story. After all, we, the people of international more than 90 products of Protected Designation trade, are always calculating risks and facts and of Origin, like Chios mastiha or feta cheese. numbers before planning and executing our busi- Greece is also among the top 3 producers of alu- ness plans. But we are also optimists by nature. minium and smectites in the world and No. 1 in We take into account other prospects, too. Europe in bauxite, also having unique reserves of For example, did you know that Greece is No. 1 nickel and magnesite. In the meantime, there are exporter in the world in fish farming products? massive projects regarding the exploitation of Or among the top-3 producers of olives, olive gold, gas and petroleum reserves, or even the oil, saffron and kiwi? No. 5 exporter of aspara- exploitation of renewable sources of energy, from gus? In the top-10 of cotton producers and the sun, wind and water. exporters, and in the top-15 in regard to cheese So, Greece is not only feta cheese and olive oil.
products? Greece is a key supplier of agricul- For the past decades, the Greek economy and Trade with Greece Trade 22 *Dean Koontz, American author 22-23 Master interview_SAKELLARIDIS:06-07 Karamanlis 21-29.qxd 9/4/2013 4:29 ìì Page 3

Greek businesses have been accumulating a also launched a new collateral cash-flow booster, great capital of knowledge, expertise and know- the “ECIO-EXTROVERSION” Programme to assist how. Technology-intensive products now account Greece’s export enterprises in fulfilling their obliga- for almost 23% of total Greek exports, as com- tions to their buyers. Moreover, the Greek govern- pared to only 6% in 1988. ment, with the support of the United Nations, is pro- In 2012 Greece hit yet another historic all-time ceeding to the implementation of a Single Window record for exports, up to nearly €25 billion, break- for exports, with the aim of reducing the cost and ing again the record that had been set in 2011. time to export by 50%, starting from 2013. By the end of 2013, the exports’ share in Greece’s In the meantime, 7,000 entrepreneurs and admin- GDP will be 4 times higher than the historic low of istrative employees of Greek SMEs are being the 2000s (around 25% of GDP). At the same vocationally trained on Export Planning and time, over 2,000 new enterprises were founded Internationalization of Business through an inno- on the basis of exports or obtained international- vative training programme implemented, among ized characteristics. others, by the Panhellenic Exporters Association. These are accomplishments for which, as Greek Business delegations of Greek tradesmen and exporters, we are very proud of. They are our own producers are travelling in Europe, Asia and the rewards and prizes, awarded by the real global Americas for b2b meetings. economy, against speculators and in spite of the slowdown of global growth, especially in Greece is becoming an open economy and wel- European countries. comes all of those interested in getting to know “So, what about the risks of trading with Greece? Greek products and services. We, the Panhellenic What about red tape costs?” I am happy to inform Exporters Association, the main exporters’ organ- you that Greece now possesses a series of tools ization in Greece, believe that “the future is not to designed to minimize these risks. The Export Credit be anticipated, but to be created”. And we are Insurance Organization has launched the Buyers calling these creative forces in Greece and Credit Programme to insure and secure even the abroad to join us in our vision of a prosperous, buyers of Greek products abroad. The ECIO has competitive Greece. Trade with Greece Trade 23 24-30 Master ECONOMY_NOTIS:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:32 ìì Page 2

A change of climate for Greece

From Europe’s black sheep to star child. Achievements, obstacles, challenges and unfulfilled commitments. By Nectarios V. Notis

ebruary 2012: the coalition government, later, things would change for Greece, very few under Lucas Papademos, is facing the people would believe them. After all, pessimism Fprospect of imminent elections. There is indices regarding the country’s prospects soared great uncertainty regarding Greece’s future; the in most –if not all– sectors of the economy. implementation of the reform programme has And yet, twelve months later, it is obvious that stalled; and everyone has the election campaign there has been a change of climate for Greece. to mind. The risk of a Grexit seems to have retreated (at
If, at that time, someone predicted that, one year least for the next two-years); lenders seem satis- Trade with Greece Trade 24 24-30 Master ECONOMY_NOTIS:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:32 ìì Page 3

has actually been done? Does this mean that the Greek economy’s problems have been solved? Or that the market has regained its footing? Definitely not. “ There is still a long There is still a long way to go until the country way to go until the sees the longed-for light at the end of the tunnel. country sees the That said, what has been the cause of this longed-for light at the change? Which are the achievements, and which are the challenges that lie ahead? Let’s take end of the tunnel. things from the beginning – or, preferably, from the end. Let’s see, in a nutshell, what is the cur- rent situation regarding the Greek economy. ” IMF: The Fund’s stick and carrot for the €3.24 billion tranche fied with the steps the country has made since June; the public finances have shown lots of No one doubted that our lenders would give the improvement; and some investor interest for green light for the mammoth tranche they had “case Greece” has –slowly, but surely– started decided to disburse to Greece – even in tranches. emerging abroad. In addition, no one doubted that the International Does this mean that all that should have been done
Monetary Fund would approve its own part of the Trade with Greece Trade 25 24-30 Master ECONOMY_NOTIS:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:32 ìì Page 4

tranche: €3.24 billion. The question, of course, is: well as a law preserving certain entry barriers for what came along with this approval? reasons of public interest (e.g. for weapons deal- Washington praised Greece for its progress and ers, divers and conservators). for its full “adaptation” to tough and painful meas- In regard to taxation, the only measure that was ures: i.e., the reduction of private sector salaries taken –and this with a delay of more than a year– and the consecutive austerity packages, which was the appointment of a general secretary for include expenditure cuts and tax hikes. state revenues. Otherwise, the quantitative tar- On the other hand, though, the IMF expressed its gets regarding audits on high income taxpayers objections, which focus on two main themes that or large property owners were not met. constantly appear in the troika’s reports: It is not a coincidence that Horst Reichenbach, ● The infamous opening of regulated profes- the head of the European Commission Task sions, and Force, spoke about poor results as compared to ● the achievement of tax audit targets and, in gen- the huge technical assistance his team has eral, the policy for cracking down on tax evasion. offered to the Ministry of Finance.

In fact, Greece’s lenders expected many meas- ures to be taken on these two issues by late Revenues - Deficit 2012: the target December, albeit in vain. More specifically: has been met In regard to the opening of regulated markets, the government had promised lenders that it For the first time, after many years, a revenue tar- would put a series of measures to Parliament, get has been met, notwithstanding the fact that through the law of ratification of the legislative this target had been twice revised. By the end of decrees and the draft tax law. However, this did 2012 the budget showed: not happen. ● A primary surplus equivalent to 1.9% of GDP, The measures would include –in accordance with amounting to €3.7 billion, against a target of a the Memorandum– changes in the method for €4.6 billion deficit (2.4% of GDP). calculating the social security contributions of ● Net revenues exceeding the target by €410 lawyers and engineers and certain representation million, although the total revenues of the gov- expenses; the decoupling of lawyer fees from ernment budget missed the annual target by legal expenses and reference amounts; changes €687 million, owing to a €1.1 billion shortfall in in the obligations of professional associations; as the Public Investment Budget (PIB).
Trade with Greece Trade 26 43 atrEOOYNTS4-7KKUI _12.x //0343 ìPg 5 Page ìì 4:32 9/4/2013 1_21x29.qxd KAKOURIS ECONOMY_NOTIS:44-47 Master 24-30 A governmentbudgetdeficitreducedto€15.9 ● A ● the revisedtargetby as wellareductionintaxrebates thatexceeded e) d) c) b) a) from: financial staff, tolarger-than-expectedrevenues according toofficial datafromthegovernment’s target setfor2012(€47,706million),isdue, €48,116 million,0.9%or The factthatordinarybudgetrevenuesreached The revenuesurprise non-tax revenues(by€32million); other directtaxes(by€59million); income taxation(by€355million); motor vehicletaxes(by€55million); property taxes(by€170million); revenues). deficit hadbeensetat€16.3billion(8.4%of reduction. The targetforthe2012budget (10.9% ofGDP),i.e.a30%year-on-year billion (8.2%ofGDP),from€22.8in2011 funding ofthePIBby€736million. both from primary revenues and the under- ment thatweresubmittedonDecember31st.) end of February, from the applications for pay- ernment expectssignificantPIBrevenuesbythe are presented on a cash basis, since the gov- (It shouldbenoted,though,thatthesefigures €355 million reduction in expenses, resulting € 366 million. €410 millionabovethe been meetingeveryweek,albeit withouttaking Republic Asset DevelopmentFund(HRADF)has Recently, theBoardofDirectorsHellenic port at Elliniko, in the southern suburbs of Athens. Hellenic Petroleum and the site of the former air- OPAP itself,thePublicGasCorporation(DEPA), deals thatawaitcompletion,suchasthesalesof lesser importanceincomparisontothemajor Development respectively, are,undoubtedly, of Football Prognostics(OPAP) andLamda Broadcasting CentretotheGreekOrganizationof The sales of the state lottery and the International two years. any serious action on this issue during the past about least this year– the government expects to collect now been seriously revised downwards and –at announced bythetroikainFebruary2011 has The ambitious €50 billion target that had been foreign investment. send the coveted signal for the further inflow of fact that the first big-ticket privatization deal will from thesaleofitsassets,butalsobecause revenues theGreekstateisexpectedtogenerate ernment andthetroika.Notonlybecauseof beginning, one of the major bets of both the gov- The privatization process had been, from the very postponed targets Privatizations andconstantly “ expected revenues tolarger-than- staff, government’s financial data fromthe according toofficial revenues reached € € ( target setfor2012 €2.6 billion,without,actually, havingtaken € 410 millionabovethe 48,116 million,0.9%or 47,706 million),isdue, ordinary budget The factthat ”

27 Trade with Greece 24-30 Master ECONOMY_NOTIS:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:33 ìì Page 6

any actual decisions, but merely issuing state- Liquidity: another major bet ments saying that the second stage of this or that procedure is in due course. The problem is that Apart from all this, though, the greatest concern nothing is being done. of the market, the businesses and, by extension, The same thing happens whenever the Asset the workers, is liquidity. In fact, following the dis- Development Fund’s management meets with the bursement of the mammoth tranche, the state Minister of Finance: announcements regarding has already started to pay off –even a small– part the speeding up of procedures, and nothing of its debts to the private sector. Out of total state more. arrears of €9.3 billion, the amounts that have In any case, though, even now is not too late. been paid do not exceed €1 billion, the aim being Given that the procedures regarding OPAP and to repay €3-3.5 billion in 2013. It is obvious that DEPA will have to be completed by the end of this does not in any way solve the problem of the March, the government has, even now, the oppor- businesses’ liquidity; however, it is a good start, in tunity to conclude at least one major deal, and fur- order to help both individuals, and legal entities, ther improve its reliability in the eyes of the inter- to do business, or just plug some holes in their national investment community. finances. Indeed, considering that the Greek state
Trade with Greece Trade 28 24-30 Master ECONOMY_NOTIS:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:33 ìì Page 7

February 25 till April 25, 2013, and will concern inclusion to the programme “Support to Small and Medium-sized Enterprises in the Manufacturing, Tourism, Commerce-Services sectors as part of the NSRF 2007-2013”. Investment assistance rates vary from 40% to 60%, depending on enterprise size and region, while start-up enterprises are also eligible to receive financing of up to 25% of their operating costs (e.g. rents, payroll etc.), which, nonethe- less, cannot exceed 40% of the business plan budget. The deadline for the completion of the invest- ments is 15 months since the issuance of the decision for the incorporation of projects regard- ing the manufacturing and tourism sectors and 12 months in regard to commerce-services. Eligible expenses include: buildings-facilities, machinery-production equipment, means of transportation, environmental protection and energy-saving equipment and facilities, know- how rights, quality assurance system certifica- tion, software and related services, promotion- advertisement, consultants’ fees and operating expenses. The applications must be submitted electronically. Eligible businesses include micro, small and medium-sized enterprises, either existing (for two or more fiscal years) or start-ups, which operate in the manufacturing, tourism and commerce- services sectors. Subsidized budgets range from €30,000 to €300,000 in manufacturing, €20,000 to €300,000 in tourism, and €20,000 to €100,000 in commerce-services. It is really interesting that –for the first time in its history– the European Investment Bank will act as a guarantor in order to facilitate foreign trade in Greece. Bank recapitalization applies double standards, in other words nets debts only when there is money to be collected That said, the completion of the recapitalization of –when taxpayers owe the state more money that Greek financial institutions is expected to play a the state owes them– it is obvious that most tax- key role in restoring liquidity and –most impor- payers expect the payment of this money like tantly– stability in the market. manna from heaven. According to the final report released by the Bank of Apart from the settlement of overdue obligations, Greece in late December, “the capital needs for all the funds of the European Investment Bank are Greek commercial banks were estimated at €40.54 also expected to play a key role – provided that billion,” of which €27.5 billion corresponded to the the money is wisely used. four “core banks” (National Bank, Alpha Bank, Eurobank, Piraeus Bank). These figures are very “Gold” from the NSRF close to those that accompanied the financial state- ments for the first three quarters of 2012. Apart from that, almost €456 million are expected Based on the central bank’s estimates, the com- to flow into the market through the National pletion of the recapitalization process ensures Strategic Reference Framework (NSRF). The that capital adequacy ratios will remain above the
period for the submission of proposals is from minimum requirement at least until 2014. This Trade with Greece Trade 29 24-30 Master ECONOMY_NOTIS:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:33 ìì Page 8

“ It is really interesting that -for the first time in its history- the European Investment Bank will act as a guar- antor in order to facili- tate foreign trade in Greece. issues, as private shareholders will have to sub- scribe to at least 10% of these issues in order to ” avoid losing control of the banks to the state. forecast has been based on two macroeconomic The improvement of the banks’ capital position scenarios, which reflected “plausible outcomes does not mean that money will automatically start for key indicators” (e.g. real GDP growth, unem- flowing into the market through the extension of ployment rate, inflation, residential and commer- loans or other credit facilities; nonetheless, it will be cial real estate prices) during the period 2012- a first step towards the rationalization of the Greek 2014. banking sector that –in conjunction with the Now the market has turned its attention to the restructuring that is already underway– will restore recapitalization plans of the four “core” banks, stability in the country’s financial system and, which will determine the level of new equity therefore, to the private sector of the economy. Trade with Greece Trade 30 02-03 editorial_2013:01-02 theseis proedrou 21-29.qxd 12/4/2013 2:32 ìì Page 3 31-33 Master ECONOMY_PAPANDROPOULOS:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:39 ìì Page 2

There are also positive signs for 2013 The economy’s fundamentals are improving and can set the conditions for a gradual exit from the crisis.

By Athanassios H. Papandropoulos

onfidence may be in shortage. economy by 2020 has already commenced. This CUncertainty may prevail. Unemployment is a sanguine estimate, given that, despite the pro- may be a problem. Nonetheless, in 2013 liferation of doomsday scenarios, the prospects of Greece’s ailing economy has all the potential to the euro zone for the new year are by no means start exiting the twin traps of statism and public negative. Europe has left the worst behind, and debt. The reason for saying this is that certain most pundits believe that the economy’s growth economic indicators show marked improvement, rate for the year 2013 will be positive. which is tentatively starting to reinstate market In regard to Greece, as noted in Alpha Bank’s confidence. weekly economic report, the factors that led to the As suggested by local and international market country’s upgrading are, on one hand, the great observers, unless a very serious political and/or resolve the Greek government has shown during economic accident occurs, the recent upgrading the past few months in implementing the adjust- of Greece’s credit rating to B- with a stable out- ment programme, and overcoming the economic look by Standard & Poors’ is the best and clear- and political adversities it was beset with, and, on est sign that the countdown to the Greek econo- the other hand, the unquestionable expression of
my’s recovery and its transformation to an AAA Community solidarity through the support offered Trade with Greece Trade 32 31-33 Master ECONOMY_PAPANDROPOULOS:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:41 ìì Page 3

to Greece by its partners in the euro zone. By the becoming more extrovert – as demonstrated by end of 2014, Greece will have received financial the growth in exports. Therefore, in 2012 we saw assistance of €236.8 billion, of which €197.6 bil- a significant improvement in the balance of pay- lion from the European Union. Although after ments, which just two years ago showed a deficit receiving the €52.4 billion tranche the remainder of of more than 15% of the gross domestic product. the funds to be collected in 2013-2014 amounts to The enhancement of extroversion goes hand in just €35.8 billion, commitment to the programme’s hand with the improvement of the economy’s implementation is the only means for ensuring the competitiveness, through a focus on the produc- further upgrade of Greece’s credit rating and its tion of internationally tradable products. return to the markets from 2015. Provided, of Hence, we currently have the opportunity to course, that the reliability of economic policy deci- exploit more efficiently the country’s major com- sions in Greece has been fully restored; in other petitive advantages, which had largely gone words, provided that the country has avoided any underutilized until now. For example, there are political accident that could be caused by the forces cases in which the Greek soil was put to good use of populism and impertinent irresponsibility. for the production of high value added goods, It should also be noted that this improvement in which in the past were exported in bulk. It goes sentiment towards the country is, to a great without saying that similar goods also support extent, the outcome of an improvement in certain Greek tourism, which, in the 21st century, may fundamentals of the Greek economy. Thus, now prove to be as valuable as oil. This is why we that the year 2012 is gone, there is increasing evi- insist that it is crucial for Greece to place even dence that certain solid steps are gradually made more emphasis on the Cretan diet, which can be towards restructuring the economy, which, combined with the development of med-
despite the crisis in the euro zone, is obviously ical/healing tourism. Trade with Greece Trade 33 13 atrEOOYPPNRPUO:44 AORS12x9qd9421 :1ì ae4 Page ìì 4:41 9/4/2013 1_21x29.qxd KAKOURIS ECONOMY_PAPANDROPOULOS:44-47 Master 31-33

34 Trade with Greece investment in all the country’s regions and indus- and, moreover, throughtheinflowofforeigndirect doubtlessly capable,Greekentrepreneurial world more effective henceforth,involvementofthe, ucts andservices). This willbedonethroughthe, quality andmuchmorecompetitivegoods(prod- to demonstrate that it’s capable of producing high coming years,thedomesticeconomyisexpected In general, Alpha Bank argues that, in the forth- “ plans. pursue theirownshady by thosewhowishto that thisisnotdimmed bright side-provided The year2013hasa ” sue theirownshadyplans. that this is not dimmed by those who wish to pur- So, theyear2013hasabright side–provided taneous creationofnewjobsinindustries. itate a decrease in unemployment, with the simul- ity utilizationrate,atrendthatwill,naturally, facil- should expectanincreaseinthecountry’s capac- banking system. Under these circumstances, we also leadingtoareturnofsavingstheGreek the economyandallproductiveactivityin2013, talization willbeanotherpositivedevelopmentfor Finally, itshouldbenotedthatthebanks’ recapi- productive investmentinGreece. otic duty”,whateveritcantowardoff anydirect This iswhytheloyaloppositiondoes,outof“patri- the rightdirection. property is, obviously, a significant step towards development ofthestate’s –and thechurch’s– and the speeding up of the procedures for the tries. The alreadyaccelerated privatizationdrive 34-41 Master ECONOMY_PAPADOSIFAKIS MEION 1 SEL:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:45 ìì Page 3

Attracting investment: one of the government’s top priorities

The principal policy axes are well-known: emphasis on liquidity, promotion of major projects and a dvancement of structural change and reform, in order to make Greece more competitive, more investment- friendly, which is, after all, a prerequisite for the creation of new jobs.

By Evi Papadosifakis

his is the only way to keep recession in investors, especially foreign, emphasize, accord- check. This is the only way to create fresh ing to Ministry of Development sources, on the Topportunities and new wealth for the problem of delays in the dispensation of justice. country. Attracting investment, especially foreign “The inadequate implementation of legal proce- direct investment, is crucial. In this context, the dure rules –especially amidst the crisis– is a government has been lifting barriers to entry, thorny issue, related to the very existence of the dealing with market distortions and cutting down rule of law and, of course, the functioning of the on red tape”, as the Minister of Development, economy. Because it causes a disproportional Competitiveness, Infrastructure, Transport and increase in risk and discourages investment, now Networks, K. Hatzidakis has quite often said. that we need it more than ever before. And to this end, the draft law for strategic and pri- “Of course, both the government and the Ministry vate investment provides for a “Central Licensing of Justice have been promoting measures for the Authority”, gathering officials from all responsible fair, sound and timely legal settlement of the rele- agencies “in one room”. vant disputes. In any case, though, we must uti- As far as expropriations are concerned, the min- lize all the tools that are available to us. istry has already launched a joint effort with the “We don’t need to rediscover the wheel: we Ministry of Justice, in order to reconsider the should only identify best international practices issues of cost, as well as speed. and make them compatible,” noted Mr. Hatzidakis
Apart from licensing issues, though, potential at a recent one-day conference, organized by the Trade with Greece Trade 35 34-41 Master ECONOMY_PAPADOSIFAKIS MEION 1 SEL:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:45 ìì Page 4

The fund absorption target that has been agreed for the “ year 2013 stands at €3.890 billion - in other words it is larger and much more ambitious than last year’s. ” Athens Chamber of Commerce and Industry. SMEs will be implemented in 2013, along with the Ministry officials estimate that, noticing these provision of another €400 million, out of total changes, certain corporations started treating funds of €1.44 billion, raising total financing for Greece differently, and cite as examples Unilever, this period to €1 billion. Hewlett Packard and Philip Morris, which are Moreover, based on the EIB’s announcements, expanding their operations in the country. the implementation of the programme for the pro- “Of course, the situation remains tough and there vision of guarantees for commercial banks to is absolutely no room for complacency”, add the finance the international operations of same sources, also emphasizing that: “On the import/export companies will begin in April. These other hand, though, 2013 will be a challenging are revolving facilities, whose total amount is year. A year at the end of which we will see the expected to reach €1.5 billion on an annual basis. first signs of recovery, provided that we work in a Second, in regard to the NSRF: planned and consistent manner. ● The fund absorption target that has been So, the target for 2013 is to make the transition agreed for the year 2013 stands at €3.890 bil- from deep recession to recovery, the “heavy lion – in other words it is larger and much more artillery” of this effort being the recapitalization of ambitious than last year’s. the banking system that is underway; however, in ● Priority projects that need to be accelerated, order to stay ahead of developments the govern- especially those included in Greece’s obliga- ment is also taking the following steps: tions under the memorandum, such as “Elenxis”, the national registry, the infrastruc-
First: The agreement with the EIB regarding tures for solid waste management, as well as Trade with Greece Trade 36 44 atrEOOYPPDSFKSMIN1SL4-7KKUI _12.x //0344 ìPg 5 Page ìì 4:45 9/4/2013 1_21x29.qxd KAKOURIS SEL:44-47 1 MEION ECONOMY_PAPADOSIFAKIS Master 34-41 Revisionandsimplificationofthe“Savingat ● A programmefortheprovisionofbusinesses ● fied: mobilized andtherelevantproceduresaresimpli- Entrepreneurship and Development) funds are Third, dormantETEAN(HellenicFundfor Negotiationsarestillunderwayregardingthe ● an increaseinthebudgetfor special cases. To month, a special design for blocks of flats and required forinclusionintheprogramme byone ing documents,thereductionoftime sions includethefurtherreductionofsupport- liquidity amountingto€450million. The revi- Climate Change (MEECC), in order to provide and Energy Environment, the for Ministry Home” programme, in cooperation with the Interest ratesubsidywillstandat50%. redesign oftheEntrepreneurshipFund. tal loansof€ with low-interestinvestmentandworkingcapi- and the draft law for NSRF III is being prepared. vided for, Greece has already secured fact, insteadofamere possible reductionoffundsbyalmost40%.In new NSRF2014-2020,withtheaimofavoidinga ects, aresupportedbyprojectmanagers. the “e-procurement” and “e-prescription” proj- 680 million,alongwiththe € 11.2 billioninitiallypro- € 14 billion, loans totalling Overall, itisestimatedthatbankswillextend New initiatives for the “ENALIO” fund, which ● liquidity, as well as to making resources and tribute, toacertainextent,the effort ofboosting Hellenic InvestmentFund,which couldalsocon- Fifth: be co-financedbytheNSRF. lion for 2013. It is estimated that €250 million can enhance liquidity, withdisbursementsof Fourth: entrepreneurship. and million onthematictourism,desalinizationetc., programme onextrovertentrepreneurship, young entrepreneurship, neurship, million fromtheprogrammeongeneralentrepre- estimated thatthemarketwill see inflowsof Gerontoukos, theFund’s president andCEO.Itis stated at a press conference by Mr. George arrears, undertheguaranteeofΕΤΕΑΝ,as small andmedium-sizedenterprises. product enterprises,aswellnewactionsfor concerns thefishingfleet,fisheries,fishery gramme. date, 20,000homeshavejoinedthepro- €10 millionfortheprogrammeoninnovative Plans providefortheestablishmentofa The InvestmentIncentivesLawisusedto € 6 millionfromtheprogrammeon € 1.2 billiontoSMEswithno €140 millionfromthe €620 mil- €150 €10

37 Trade with Greece 34-41 Master ECONOMY_PAPADOSIFAKIS MEION 1 SEL:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:45 ìì Page 6

know-how available to sectors such as infrastruc- periods and the optional opening of Greek ture, technology, SMEs and energy. It will be rais- retail shops on Sundays, will be tabled to ing funds from the public sector, investment Parliament in order to be implemented. banks and international development organiza- ● By the end of June, and as part of the actions tions, as well as from private investors. It will for facilitating entrepreneurship, additional operate on the basis of purely financial criteria. measures will be taken in order to reduce by The second priority axis concerns Public Works 50% the cost of setting up a business, as spec- (road axes, Athens and Thessaloniki Metro, ified by the World Bank. extension of the Tram to Piraeus, rail projects, the Moreover, a concerted effort is underway for ports of Igoumenitsa and Lavrion, the Castelli air- further simplifying licensing procedures as port, and promotion of 10 PPP waste manage- regards the establishment and operation of ment projects). business parks. The third priority axis is about the further promo- ● The OECD’s “Competition Assessment Toolkit” tion of structural changes and reforms. More is utilized for enhancing competition in four specifically: sectors of the economy (tourism, food pro- ● The new Market Regulations Code, which cessing, building materials and retail trade). includes the extension of the sales and offers The OECD’s action plan for enhancing compe- tition in these sectors, complete with the corresponding effects on price determina- tion, will be ready by the end of June 2013. Moreover, all necessary legislative amendments for lifting disproportionate regulatory restraints and introducing alter- native measures will be adopted by September 2013. ●The government has already started working together with the World Bank in order to enhance Greece’s competitive- ness through reforms that will improve the investment/business environment and the country’s ranking in the Bank’s “Doing Business Report”. Logistics development features prominently in this joint effort. ●The National Export Strategy is further developed, with the aim of drastically reducing the trade deficit by 2014. The tar- get for 2013 is to increase exports to 13% of GDP, the highest percentage of the past 30-years. ●Apart from the effort to facilitate exports, which is already underway, the National Export Strategy rests on two more pillars: expanding the export base through the development of comprehensive sectoral policies and promoting exports. The latter includes restructuring, and establishing the official cooperation among, the com- petent state agencies, as well as creating a national brand.

Such policies will start being implemented in 2013, both in the food industry, and in the new technologies sector, while the first quarter of the year will see the launch of a new NSRF round for enhancing the SME’s international competitiveness.
Trade with Greece Trade 38 34-41 Master ECONOMY_PAPADOSIFAKIS MEION 1 SEL:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:45 ìì Page 7

In addition, Greek companies will be offered com- prehensive support, in order to focus on exports “ The draft versions of all and seek trading partners abroad. The govern- ment of the Netherlands and the Task Force are legislative and already providing technical assistance, while the administrative measures strategy will also be supported by a new extro- for the implementation of version agency that will result from the merger of the Hellenic Foreign Trade Board (HEPO) and the aforementioned action “Invest in Greece” into a single entity, possibly plan will be submitted to within the first half of 2013. Moreover, in order to improve coordination, the the Commission in personnel and responsibilities of the Commercial September 2013. Affairs Offices –that will be incorporated in the same extroversion system– will be transferred to ” the Ministry of Development, Competitiveness, aforementioned action plan will be submitted to Infrastructure, Transport and Networks, following the Commission in September 2013. the finalization of all necessary administrative Moreover, in the field of e-procurement, the digi- changes. The restructuring will take into account tal infrastructure regarding public contracts for the the relevant recommendations of the Dutch procurement of goods and services is already in experts that have been working with the govern- place. ment, as well as international best practices. ● The National Public Contract System is incor- ● In 2013 the public contracts regime will under- porated into law, in order to ensure that the cen- go a comprehensive revision, including proj- tral government will be covering at least 25% of ects, procurements and services. The relevant its requirements in supplies and services action plan was expected to be prepared, fol- through the e-procurement platform by lowing an agreement with the European December 2013. Commission, by the end of January. In order to meet this target, the contracts for the The draft versions of all legislative and adminis- procurement of goods and services will be
trative measures for the implementation of the processed on a pilot basis through the e-procure- Trade with Greece Trade 39 34-41 Master ECONOMY_PAPADOSIFAKIS MEION 1 SEL:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:46 ìì Page 8

ment platform throughout the first half of 2013. of approximately €7 billion have been included in The e-procurement platform will be fully opera- the fast-track process. tional and ready to be used by the central public Nineteen of these are PPP projects; the remain- administration for the procurement of goods and ing 21 investment plans are either being imple- services by July 2013. mented through regular procedures or are ● As far as privatizations are concerned, the gov- expected to be included in the fast-track process. ernment has been working together with the “To be sure, the implementation of these plans Hellenic Republic Asset Development Fund depends, directly or indirectly, on the liquidity of (HRADF) to ensure that there is no divergence the banking system and this is why the conditions from the schedules. Greece has pledged to final- prevailing in the economy in the forthcoming peri- ize the sales of the Public Gas Corporation od are so important” stressed Mr. Hatzidakis. (DEPA), its subsidiary DESFA and the Greek Organization of Football Prognostics (OPAP) by Communications the end of March. By the end of the first quarter of 2013 –provided Facilitating investment that the European Commission gives the go ahead– the government will issue a tender for the A Central Licensing Authority, responsible for strate- “Rural Broadband” project, i.e. the broadband gic and private investment, will be soon created interconnection of rural, island and remote areas. through the draft law on reducing red tape and facil- This is a PPP project, with a total budget of €200 itating investment, which is tabled to Parliament. million. Moreover, 51 investment plans are actively moni- The “Fibre to the Home” concept is still alive: fol-
tored. Eleven of those plans, with a total budget lowing the studies that were carried out, the Trade with Greece Trade 40 34-41 Master ECONOMY_PAPADOSIFAKIS MEION 1 SEL:44-47 KAKOURIS 1_21x29.qxd 9/4/2013 4:46 ìì Page 9

fare evasion and dealing with the deficits of public transport operators, while the number of ticket inspectors is increased, through the revi- sion of the organization charts of OSY (thermal and trolley buses) and STASY (metro, electric railways and tram). In other words, a great num- ber of employees will leave the offices and will be transferred to ticket sale and inspection. The contractor for the electronic ticket and the metro station barriers will be appointed next June, and the project will be gradually come on-stream during 2014. The same applies for the Telematics project, as the relevant tender will soon be completed. Moreover, transport services will be certified, for the first time in Greece, in accordance with the ΕΝ 13815 Standard, which is implemented in most European countries. It should be noted that, from now on, the quali- ty of transport services will be reflected on the operators’ state financing. The first stage of the certification will be final- ized by mid-March, while the project as a whole will be completed the latest by September, along with the reorganization of the transport system of Attica. The procedure for the con- struction, as a PPP project, of a new Central Intercity Bus Station at the Eleonas district will be launched in the first half of 2013. The total budget stands at almost €120 million, and the project will gradually come on-stream two years after its commencement.

investment is estimated at approximately €1 bil- Borrowers lion, as a PPP project also financed with NSRF funds (the project will be mainly financed with By the end of March the government will revise resources from the new NSRF). It will cover the regime for over-indebted individuals, in order Athens, Thessaloniki and more than 25 urban to deal with the prolonged pendency of legal pro- centres in the regions. In addition: ceedings and ensure the, as fast as possible, The transition to digital TV will continue through- resumption of the debtors’ business activity. out 2013, in order to ensure the geographical cov- That said, apart from the rationalization and erage of two-thirds of the country. updating of Law 3869/2010, the government has A tender for Digital Television Network Providers proposed the implementation of a relief pro- will be announced in the first quarter of 2013, gramme for borrowers with annual incomes of up when the tenders for the following projects will be to €25,000. The aim of the programme is to completed: MAN (Metropolitan Area Network - ensure a 48-month grace period, during which broadband) by July 2013; Electromagnetic Fields debtor households can pay an instalment of no Observatory within the first half of the year; more than 30% of their monthly earnings. Network Infrastructures Digital Register (a map- In addition, the government has proposed ping of the country’s network infrastructures) by improvements in the operation of the TIRESIAS the end of June; and e-call (for emergency calls) inter-bank list of bad debtors for both individuals within the first quarter of 2013. and businesses, in order to ensure that they are assessed on the basis of their overall profile and Urban transport modernization not any individual setbacks. The programme is also going to include meas- Further steps are taken for cracking down on ures in favour of non-delinquent borrowers . Trade with Greece Trade 41 42-49 Master ECONOMY_FLOUDOPOULOS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 9:50 ðì Page 2

IInndduussttrryy 22001133 TThhee cchhaalllleennggeess rreemmaaiinn,, bbuutt tthheerree aarree aa ffeeww ssiillvveerr lliinniinnggss

By Haris Floudopoulos

● Multinationals resume production ● The problems faced by the cement and steel industries ● The first large orders for 2013

aught in the grip of the Greek crisis and chronic structural problems that stem from the C the adverse environment of the euro lack of competitiveness, a flawed tax regime and zone, Greek industry needs to cope with red tape, and it is obvious that Greek industry is the double whammy of an unprecedented drop in going through a period of great challenges. local demand and fierce international competition. And if, on the face of it, the situation does not
Add to this tough economic environment the leave much room for optimism, there are certain Trade with Greece Trade 42 42-49 Master ECONOMY_FLOUDOPOULOS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 9:50 ðì Page 3

tionals Elais Unilever, Henkel and Philip Morris Papastratos. Unilever was the first to announce the outsourcing of 110 of its product lines to Greek industries (Famar, Plias Papoutsanis etc.). Next came Philip Morris Papastratos, which invested €3 million for the creation of a new pro- duction line that will cover new needs arising, not only in the Greek, but also in foreign markets. Henkel, also a multinational, followed suit by announcing that it will reinstate its detergent pro- duction on Greek soil, following a deal with Rolco, one of Greece’s historic manufacturers. The first deals

For the heavy industry sector, which has been facing an unprecedented crisis mainly as a result of the steep drop in domestic demand, the year 2013 seems to start with relatively good portents. This, at least, is suggested by the first deals struck, or about to be completed, by the big names of Greek manufacturing. The first agree- ment was signed as soon as January 3, and con- cerned “Aluminium of Greece”, one of the flag- ships of Greek industry, which secured a contract for the sale of 75,000 tons of aluminium to Glencore, the Swiss multinational, for a total of $200,000,000. The aluminium that will be pro- duced in the Greek plant will be distributed in European and American markets from January 2013 to June 2014. Principally an exporter, “Aluminium of Greece” boasts a value added of more than 80% in the final exported product. There are also positive prospects for industries that manufacture specialty products, such as cables and conductors, whose demand has increased thanks to the new infrastructure proj- ects. This category includes two industrial com- panies that produce high voltage cables: Hellenic Cables, a member of the Sidenor (Viohalco) Group, and the Greek subsidiary of Nexans, the French multinational giant. Recently, the Independent Power Transmission Operator indications that rather interesting developments (IPTO), announced the plan for the development are afoot – most importantly, the fact that, of new transmission systems in the forthcoming apparently, more and more people believe that years. According to this plan, three giant projects, the exit from the crisis will be achieved through concerning the interconnection of the Cyclades the change of the growth model, the increase of and Crete with the mainland, as well as the inter- private sector activity and a shift towards pro- connection of Cyprus with Crete, are being given duction. the go-ahead. The first contract is expected to be This view is compounded by the recent decisions awarded later in the year and will amount to €250- by multinational groups, which operate in various 400 million, depending on the final solution that sectors, mainly chemicals and tobacco, to rein- will be chosen for the routing of the transmission state or enhance their production lines in Greece. line. The interconnection of Crete is expected to The latest good news from the manufacturing be realized by 2015, at a cost of about €900 mil- lion to €1 billion. It is directly linked to the Crete-
sector include the decisions reached by multina- Trade with Greece Trade 43 42-49 Master ECONOMY_FLOUDOPOULOS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 9:50 ðì Page 4

Cyprus project, with the involvement of Greece’s Developments in the South Stream case cannot Public Power Corporation (PPC) and Cyprus’ be ruled out during the first quarter of 2013, while Quantum Energy, as well and Israeli and Cypriot the situation regarding the other major contract institutional bodies. The project, with an initial that the Greek company will seek to secure, will budget of €1.5 billion, will be one of the largest in be clarified later – possibly in the third quarter. its kind and is expected to attract international This contract concerns the TAP pipeline, a joint interest. project of Statoil, Eon, EGL, and BP, which, if In the steel industry, omens are good for Corinth selected for carrying Azeri gas to Europe, will Pipeworks SA (CPW, a subsidiary of Sidenor), move on to the implementation stage. CPW is which looks forward to this year’s tenders for the among the certified suppliers that have been procurement of pipes for various pipeline projects approved by Statoil for submitting bids. that are in the final stages of completion. The In contrast, traditional steel mills have lower most likely deal to be completed is that of the expectations, which are confined to the resump- South Stream pipeline, since CPW is entering the tion of the major highway projects in 2013. If process using the Greek-Russian joint venture financing for the projects is indeed secured, the ZAOTMK-CPW (a partnership between CPW and best case scenario provides for the stabilization
Russia’s giant TMK) as a trump card. of domestic demand for steel products, which Trade with Greece Trade 44 24 atrEOOYFODPUO:44 AORS12x9qd1//0395 ìPg 5 Page ðì 9:50 10/4/2013 1_21x29.qxd KAKOURIS ECONOMY_FLOUDOPOULOS:44-47 Master 42-49 ning) thegroupsustained substantial losses (with theonlyaimofkeepingproduction linesrun- resorting to,byallmeans,unprofitable exports that causedfinancingcoststosoar. become evendirer, becauseoftheGreekcrisis Sidenor (Viohalco) Group,thesituationhas s tons). As resorting toloss-makingexports(800thousand at a mere 350 thousand tons, with the companies tons in 2007, in 2012 the domestic market closed that, followinga(sold-out)outputof2.1million currently idle. The factsarealarmingandshow than half of the Greek steel industry’s capacity is As aresultofthissteepdropindemand,more domestic demand has fallen back to 1960s levels! steel, continuetofacesevereproblems,as However, these two key sectors, cement and The problems industry (AGET, Titan, Halyps). Halyvourgia). The sameappliestothecement industries (Halyvourgiki,Sidenor, Hellenic ment ofthefundamentalsthreelargesteel prospect isinitiallytranslated into an improve- dropped by70%inthepastthree-years.Sucha hown by the results of the publicly-listed Thus, by noting thatin2006domestic demandstoodat its production capacity remained idle. It is worth 51.8% in 2012, in other words more than half of the cementindustryactuallyoperatedat43.7%to a totalcapacityofapproximately16milliontons, exports varying from 4.5 to 5.5 million tons. With expected toreach2.52.8milliontons,with to 1960s levels. In 2012, domestic sales were ing tocopewithamarketwhosesizehasshrunk Greece’s three largest cement industries are try- Cement 2013 areevenbleaker. to industry estimates, the forecasts for the year 2.5 milliontons.Itisworthnotingthat,according 54%, or1.35milliontons,outofatotalcapacity capacity ofGreece’s steelindustries standsat under thecurrentcircumstances,excess also reduced its output since July. Reportedly, effect, runningonlyitsVolos factory. Sidenorhas in is, group) (Manessis Halyvourgia Hellenic chosen toreduceitsoutputaminimum,while lion). Sincethesummerof2012,Halyvourgikihas financial expensesraisedthecostto€12.8mil- (operating lossesstoodat€10.7million,while

45 Trade with Greece 42-49 Master ECONOMY_FLOUDOPOULOS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 9:50 ðì Page 6

11.6 million tons with zero excess capacity, while the next two years were equally good, followed by a precipitous fall during the three-years 2009- 2011. Thus, reportedly, the Titan group has been utilizing more than 50% of its kiln capacity at its Kamari, Patras and Thessaloniki plants. Similarly, AGET has been running its Mylaki and Volos kilns, albeit not the one in Chalkis, while Halyps, Greece’s third largest cement industry, operates at almost 30% of its production capacity.

Steel demand

Year 2007 2008 2011 2012

Demand in 2.1 1.750 0.65 0.35* million tons

Cement demand*

Year 2006 2007 2008 2009 2010 2012

Demand in million tons 11.6 11 10,2 7.8 6.5 4.5-5.5**

*Domestic market **Estimate

Source: Hellenic Steel Industry Association and Hellenic Cement Industry Association Glass industry

One of the biggest names of traditional Greek industry, Yioula, the country’s only glass industry, is grappling, for a second year in a row, with the overwhelming problems caused by the Greek cri- sis. Despite the fact that the company has signif- icantly increased its turnover in the past two- years (both in 2011, and the extremely tough 2012), mainly based on the sales of its factories in Bulgaria, Romania and Ukraine, Yioula is see- ing its profits evaporate, owing to a dramatic increase in energy, as well as financial, costs. Indeed, in the first half of the year the firm increased its sales by 11.5% (translated to the extra production of millions of items), only to see its net loss rising from €1.7 to €2 million. The rise of raw material costs, as well as the explosion of borrowing costs, were instrumental to this devel- opment. In the case of heavy industries, such as Yioula, energy costs account for 35%-40% of total production costs, dealing a crippling blow to the competitiveness of Greek-based production units. Refineries

A common feature of the financial results of
Greece’s two largest oil refining groups (Hellenic Trade with Greece Trade 46 42-49 Master ECONOMY_FLOUDOPOULOS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 9:50 ðì Page 7

Petroleum [ELPE], Motor Oil Hellas [MOH]) is the substantial growth of their sales in terms of vol- ume. The MOH refinery at Agioi Theodori contin- ued to operate at full capacity, setting new output records since the company’s inception. The Hellenic Petroleum group is expected to hit new records in 2013, when the new plant at Eleusis will come fully on-stream. And, of course, in an environment of feeble demand and crisis, the out- put of both groups had the same destination: exports to international markets. Orders

According to the latest available data, industrial orders indices have declined year-on-year. Thus, the average orders index for the 12-month period December 2011-November 2012 registered an 8.1% decrease, as compared to a 2.4% increase one year ago. Among individual sectors, there has been a (12- month average) increase in the orders of electri- cal equipment and pharmaceuticals. Although the chemicals and basic metals sectors had shown positive prospects in 2011, this trend seems to have been discontinued, based, of course, on the orders placed. Average industrial production for the first 11 months (January-November) of 2012 fell by 3.5%, as compared to a 7.5% decrease in 2011, accord- ing to the available data. The following manufac- turing sectors sustained the greatest losses in terms of output:

Sector Output loss

Leather, Footwear 34.6%

Furniture 29.4%

Other transport equipment 27.7%

Textiles 18.2%

Industrial Minerals 17.5%

In contrast, coke and petroleum production rose by 23.6%, mainly due to the increased output of Greece’s two refineries (ELPE, Motor Oil), which is mainly channelled to exports, given the drop in domestic demand. Business climate

Nonetheless, numbers do not always tell the truth or, in this case, numbers only provide a snapshot of the reality of a given time period (November), which was fraught with uncertainty regarding Greece’s future, its stay in the euro, and the disbursement of the bailout tranche. A more “updated taste” of the Trade with Greece Trade 47 42-49 Master ECONOMY_FLOUDOPOULOS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 9:51 ðì Page 8

prospects for 2013 is provided by the economic points), markedly improved as compared to its sentiment indicator, which is compiled by the January 2012 level (70.9 points). The improve- Foundation for Economic & Industrial Research ment in the assessments of order-book levels, (IOVE) and reached a two-year high in January. demand and the (reduction of the) stocks of fin- The overall indicator picked up, thanks to the ished products have been pushing up the overall improvement of business expectations in all sec- indicator. In addition, the expectations regarding tors, excluding construction, as well as the the production level of the next quarter are more improvement of consumer confidence. Especially sanguine. in industry, there has been an improvement in business sentiment as a result of current Competitiveness demand; however, expectations on production levels remained weak. More specifically, the According to the “Global Manufacturing Business Confidence Indicator in Industry rose in Competitiveness Index 2013”, a survey prepared
December, reaching 83.6 points (from 80.4 by Deloitte, Greece is ranked as the least com- Trade with Greece Trade 48 42-49 Master ECONOMY_FLOUDOPOULOS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 9:52 ðì Page 9

financial and tax system of a country. More specif- ically, less competitive countries cannot easily overcome obstacles such as the tax rate burden, the complexity of the tax system and red tape, in order to become more attractive as manufactur- ing destinations. Factors that had been tradition- ally driving manufacturing activity, such as the cost of labour, raw materials, energy, and other similar parameters, which can be directly con- trolled and managed by companies, are of much less concern to managers than factors affected by national government actions and fiscal policies, which managers can neither control nor manage. The energy issue

An obvious problem that is directly affecting man- ufacturing productivity and has been at times highlighted by all industrial associations is the cost and overtaxation of energy. According to data from the Exporters’ Association of Northern Greece, average energy costs account for almost 5% of production costs, while in the case of ener- gy-intensive industries this percentage may reach 36% of operating costs. This is very high indeed, given that industrial units operate at an average net profit margin of 10%-12% and, in general, are currently facing severe liquidity problems. In the past five-years, energy prices rose by more than 60%, while in the past year this increase exceeded 30% in the case of medium voltage industries. Apart from electricity price hikes, indus- trial production has also been adversely affected by the increased taxation of natural gas. As a mat- ter of fact, in the past three years (2009-2012) –fol- lowing the introduction of an excise tax– the aver- age price of natural gas almost trebled, from 27.45 €/MWh to 60.35 €/MWh. In Greece, excise taxes on natural gas are almost ten times those charged by other EU countries. As a matter of fact, the Greek government decided to impose an excise tax of €5.4 per MWh, whereas the lowest tax pro- vided for in the EU is 0.5 €/MWh. Zero or minimal petitive among 38 countries under review. China excise taxes apply in countries such as Bulgaria, was ranked the most competitive manufacturing Portugal, and Spain, while the excise tax in Turkey nation. According to Deloitte, the fact that Greece and France stands at approximately 1 €/MWh. In is ranked as the least competitive means that Greece, the excise tax charge is inflating gas boosting competitiveness in manufacturing is prices by almost 10%. imperative, with a focus on high value and know- how products. It is worth noting that energy costs have recently Overall, the most important among the key fac- become the focus of all contacts and meetings tors that drive manufacturing competitiveness is between industry associations and the govern- the “quality, availability and productivity of a ment. The government, on the other hand, is nation’s workforce”, including researchers, scien- reportedly preparing a package of measures tists and engineers, and, in the end, the ability to designed to support manufacture, the most innovate. important being the reduction of excise taxes on Second in importance is the economic, trade, natural gas and electricity. Trade with Greece Trade 49 50-57 Master ECONOMY_HELIODROMITIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 9:59 ðì Page 2

Positive messages for retail trade

ommercial enterprises set foot in 2013 that the banks’ recapitalization and the payment Cfeeling certain that Greece’s place in the of, at least part of, the state’s obligations to the euro zone is at last secure, and hoping private sector will provide the market with a –how-
Trade with Greece Trade 50 50-57 Master ECONOMY_HELIODROMITIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 9:59 ðì Page 3

“Despite the recession, the risk of a Greek default will be further reduced in 2013, while no one can rule out the possibility of 2013 being a surprisingly good year for Greece.” The message of the National Confederation of Hellenic Commerce (NCHC) for the New Year let out an optimistic tone, a hope that “the worst is over” and that the market, for the first time after five years, will see some clear signs of recovery.

By Thanassis Heliodromitis

ever small– liquidity breath. Moreover, the estimating that “the recession peaked in 2011, improvement of the country’s competitiveness when the GDP shrank by 7.1%”. In 2012 the GDP and international position, the anticipated growth contraction rate will be reduced by one percent- of tourism and the imminent resumption of work age point, standing slightly above 6%, while in on many major products (mainly motorways), can 2013 it will further fall to 4%-4.5% and “recovery act as parachutes that will slow down the free fall will begin in 2014”. Therefore, based on the cen- of the Greek economy. tral bank’s estimates, the cumulative reduction of This effort to start afresh faces many obstacles, Greece’s GDP from 2008 to 2012 amounts to including market sentiment, which remains rather 20%, and may approach 24% in the six-year peri- negative; the new reduction of salaries, pensions od 2008-2013. and disposable incomes either through direct cuts On its part, the International Monetary Fund (IMF), or indirectly, through taxation; and, of course, despite noting that Greece’s “fiscal position contin- unemployment, which is the greatest problem of ues to improve”, speaks of an economy that both the Greek society and economy. remains “weak” and plagued by “weaker confi- On top of that, the accumulated debts of thou- dence and tight liquidity conditions, alongside sands of small and medium-sized enterprises to weakness in export markets”. The IMF forecasts social security funds disqualify them from any that recession will stand at approximately 4.25% in development programmes that may be imple- 2013, also identifying a financing gap of €5.5-9.5 mented in 2013. Thus, in order to avoid turning billion for the period 2015-2016, raising the possi- this assistance into a useless gift, it is absolutely bility of further measures amounting to €2-4 billion. necessary to implement the ACCI’s proposal to Therefore, it seems that, despite any signs that capitalize these debts and ensure their repay- the free fall may be slowing down, in 2013 the ment in small instalments by 2020. This will not Greek economy will contract for a sixth year in a only help businesses obtain financing, but will row, setting a new negative record for the coun- also boost the funds’ revenues. tries of Europe. In the five-year period that has The Bank of Greece also expresses cautious just ended, retail trade found itself, without exag- optimism, noting in its 2012 interim report on geration, in the eye of the storm. The sector suf- monetary policy that the “positive developments” fered a severe blow, comparable only to the blow in the last two-months of 2012 “raise reasonable dealt to the construction industry. It’s losses were expectations that the Greek economy could almost two times the GDP contraction rate during recover sooner that currently anticipated”. the five-years of the crisis, and are explained by Nonetheless, “the consistent implementation of the fact that retail trade was directly affected by the new legislation, along with measures the reduction of disposable incomes, as well as designed to speed up recovery and a wider struc- the rather negative sentiment that prevailed in the tural reform programme, are essential to making market, and the complete and violent change in this happen. Any delay, though, will push back consumption patterns within a very brief time peri- recovery, and this time the consequences will be od. The collapse of the construction sector, on the much graver”. other hand, was due to the discontinuation of
The BoG believes that “the worst is behind us”, bank financing. Trade with Greece Trade 51 50-57 Master ECONOMY_HELIODROMITIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 9:59 ðì Page 4

According to the NCHC’s estimates, retail sales Sales fell by more than 40% in the “clothing- fell to €50 billion in 2012 from €60.5 billion in 2011 footwear” and “books-stationery” sectors, which and €77 billion in 2008. In other words, turnover come next in terms of demand elasticity. fell by 17.5% in just one year, having contracted However, as a result of the consumers’ mass shift by more than 35% during the five-years of the towards private label products, even supermar- recession. In the same period the GDP shrank by kets lost more than 20% of their sales, while this almost 20%. drop exceeded 30% in specialized food-bever- The findings of the surveys conducted by the ages-tobacco stores (meat stores, fish stores, Hellenic Statistical Authority (ELSTAT) are similar bakeries, liquor stores, fruit stores, etc). to the NCHC’s estimates. In the ten months from The year 2012 has not only been a leap, but also a January to October 2012, retail trade volume bleak, year for retail trade. Although the recession decreased by 33.7%, as compared to the same peaked –based on BoG estimates– in 2011, it period of 2008. The fuels sector was the “cham- seems that in the case of retailers the worst year pion” as far as the drop in sales is concerned, as was 2012. As mentioned above, the central bank trade volume was reduced by 53.9%, owing both estimates that the economy will contract by slightly to the over-taxation of fuels and the reduction in more than 6% in 2012. Nonetheless, the ELSTAT’s the number of car commutes due to financial official data indicate that the volume of retail trade in hardship. the ten-months from January to October decreased The “runner-up” was the large, but highly by 11.7% year-on-year (12.2% including automo- demand-elastic, consumer durables market (fur- tive fuel), whereas in 2011 it had recorded a loss of niture, electrical equipment, household equip- -8.7% (-10.2% including automotive fuel) and GDP
ment), where the drop in sales reached 47.6%. had contracted by 7.1%. Trade with Greece Trade 52 50-57 Master ECONOMY_HELIODROMITIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 9:59 ðì Page 5

850.0

800.0

750.0

700.0

650.0

600.0

Source: Labour Force Survey, ELSTAT.

-60.0% -50.0% -40.% -30.0% -20.0% -10.0% 0.0% 10.0%

Source: ELSTAT

More specifically, October proved to be the worst month (of the first ten- months of the year) for the retail sector, which recorded a drop of 18.1% in the volume of retail trade (16.8% excluding automotive fuel) as compared to the same month of 2011. The second worse drop had been recorded in March (16.2%; 14.2% including automotive fuel). All this, based on official ELSTAT data. That said, according to NCHC estimates, the impact of the reces- -30.0% -25.0% -20.% -15.0% -10.0% -5.0% 0.0% sion was much stronger during the most “consumeristic” month of the Source: ELSTAT year, i.e. December. The Confederation estimates that: lion. This means that sales fell by almost 65% ● In 2012, Christmas turnover barely reached in five years; in other words retailers lost two- €7.6 billion, reduced by almost 18% as com- thirds of their holiday revenues. pared to December 2011, when it had reached €9.25 billion. The combined effect of wage and pension cuts,
● In December 2008 this figure stood at €22 bil- as well as tax hikes and social benefit cuts, on Trade with Greece Trade 53 50-57 Master ECONOMY_HELIODROMITIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:00 ðì Page 6

“ The “runner-up” was the large, but highly demand-elastic, consumer durables market (furniture, electrical equipment, household equipment), where the drop in sales reached 47.6%. ” final consumption, is illuminated by the Hellenic income fell by €5.4 billion, or 13.6%. If, indeed, Statistical Authority’s data regarding the accounts we chose to use the year 2008 as a basis for of households and non-profit institutions serving comparisons, the loss of disposable income households. According to these figures, in the would exceed €10.3 billion (-23.2%), while second quarter of 2012, as compared to the same employee compensation would be reduced by quarter of 2011: more than €5 billion (-24.3%). ● The compensation of employees decreased by In the employment front, commerce showed €2.8 billion, or 15.1%. remarkable resilience in 2009-2010, but the situ- ● Social benefits were reduced by €1.2 billion, or ation has changed dramatically since then. Thus, 9.5%. whereas in that two-year period employment in ● Final consumption expenditure fell by €2.9 bil- trade fell by approximately 30,000 (3rd quarter lion, or 7.3%. data), more than 135,000 people lost their jobs in ● In contrast, taxes (on income, wealth etc.) rose 2011-2012 . As a matter of fact, in just four years, by 37.3%. employment in trade lost all the gains of the 11-
As a result of these fluctuations, disposable year period 1998-2008. Trade with Greece Trade 54 50-57 Master ECONOMY_HELIODROMITIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:00 ðì Page 7

More specifically: ● The number of employees was reduced by In 2008 (3rd quarter) employment in trade 10.4%. reached a historic high, with more than 830,000 people. Commercial enterprises employed As a result of the above, trade accounted for 146,000 more people than in 1998. 17.8% of total employment in the 3rd quarter of However, in the past four-years the sector lost 2012, as compared to 18.3% in Q3 2011; that 166,000 jobs, and employment fell below 1998 said, retail and wholesale trade remains by far the levels (almost 20,000 fewer employed persons in most important sector in terms of employment. the 3rd quarter of 2012, as compared to the same Agriculture is in second place with a share of quarter of 1998). 13.1% (491,500 people, or 173,000 fewer than Out of a total of 166,000 jobs lost during the past trade), followed by manufacturing (9.5%), public four-years, 56,000 were lost in 2011 and 80,000 administration and defence (8.8%), education in 2012, highlighting the –exponentially– increas- (7.7%) etc. ing financial distress of commercial enterprises, According to industry estimates, almost 120,000 which have to face the consumers’ prolonged commercial enterprises had to shut down during abstention from purchases, the effects of over- the past three years, and it is currently estimated taxation and the lack of liquidity and funding. that the number of businesses that continue to operate is slightly above 200,000, as compared to The data from ELSTAT’s Labour Force Survey for 324,000 in 2009. the 3rd quarter of 2012 reveal that: There is no doubt that 2013 will be another very ● Employment in trade fell by 10.8% year-on-year. tough year for the Greek economy, which has ● The number of employers in the sector was been mired in recession since 2008. “A recession reduced by 15.7% during the same period. of such intensity and duration”, stresses the Bank ● The number of self-employed merchants in the of Greece in its interim report, “is historically
sector fell by 3.6%. unprecedented in peacetime as far as the Greek Trade with Greece Trade 55 50-57 Master ECONOMY_HELIODROMITIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:00 ðì Page 8

economy is concerned, and has major repercus- On the other hand, though, the “leap and bleak” sions, not only on incomes, but also on productive year 2012 also left a gleam of hope which, pro- capacity and social cohesion, as the lack of vided it is not left to wither away in the next few investment, combined with persistent unemploy- months, may raise the consumers’ spirits and ment, contribute to the obsolescence of physical improve their sentiment, a main prerequisite for and human capital”. changing their attitude toward consumption. In the same wavelength, Alpha Bank’s Weekly This gleam of hope was the conclusion of negoti- Economic Report states that “the recovery of eco- ations with the troika. It seems “to have had a nomic activity should, at all costs, be further calming effect to some extent, despite the signifi- enhanced through decisive measures”, albeit point- cant burden that [it] will bring upon a significant ing out that “this will not be achieved by incessant- part of society, which can be explained with the ly draining the disposable incomes of salaried fact that this lifted some of the uncertainty regard- employees and pensioners and all those who man- ing the prospects”, stresses the Foundation for aged, using their life savings, to buy a home and a Economic & Industrial Research (IOVE) in its car, through [the implementation of] an unrealistic conjunctural indicators survey for December. tax-collecting policy, which supposedly reduces In December, Greece’s Economic Sentiment deficits, but in fact hampers the effort to crack down Indicator increased, according to the researchers, on tax evasion and tidy up the government. The reaching its two-year high. The Foundation says story of Nasreddin Hoca’s donkey* is, in this case, that the improvement of the economic climate is
very up to date and extremely instructive”. mainly due to the Eurogroup’s approval for the dis-

Trade with Greece Trade *According to the story, Hoca, convinced that his donkey ate too much, reduced the daily amount of fodder. With each passing day the donkey’s 56 intake become so meagre that the animal starved to death. Incredulously, Hoca said: “Just as he was getting used to it, he died”. 50-57 Master ECONOMY_HELIODROMITIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:01 ðì Page 9

the medium-term, while our partners have emphat- ically confirmed their will to join the effort of solving the country’s grave problems”. Retail trade also reacted positively to these devel- opments. According to IOVE’s survey, the business expectation index in retail trade registered a year- on-year increase in December. Although the nega- tive assessment of enterprises regarding their cur- rent sales was slightly improved, two thirds of the enterprises continue to report reduced sales. Inventories showed some liquidation trends, while the expectations regarding sales in the next quar- ter remained pessimistic. Business expectations in “food-beverages-tobacco” showed a slight deterioration, while expectations were markedly improved in “clothing-footwear” (the extremely pessimistic sales expectations were moderated, inventories were reduced, and the percentage of businesses that foresee a drop in employment fell from 53% to 34%). Expectations improved in “household appliances” and “vehicles”, while no change was recorded in regard to “department stores”. The consumer confidence indicator showed a slight improvement; however, Greek consumers remain the most pessimistic in Europe, with Cypriot consumers at their heels. The survey shows that: ● There has been a slight improvement in the gloomy predictions regarding the households’ financial situation. Despite this improvement, though, four out of five citizens believe that their finances will slightly or markedly deterio- rate in the coming months, with only 5% expecting the opposite. ● The forecasts regarding the country’s financial situation were significantly improved. The per- centage of consumers who expect the economy The consumer confidence to deteriorate fell to 79% from 84%, while 9% (as “ compared to 7%) expect an improvement. indicator showed a slight ● 41% of consumers believe that prices will improvement; however, increase in the coming months (down from 45% in the previous month), while 38% (up Greek consumers remain the from 35%) expect prices to fall. most pessimistic in Europe, with Cypriot consumers at The survey also identified the market segment that their heels. has been suffering the greatest cuts as households ” struggle to make ends meet. This is the field of the so called “major purchases” (furniture, electric bursement of funds that will allow for the repayment appliances etc.), where 90% of consumers state of part of the arrears of the public sector, the com- their intention to spend less money for the purchase pletion of the recapitalization of the banks and the of such items during the next 12-months. This 90% partial alleviation of the credit crunch. is a historic low, and compares to 82% one month However, the most important development, ago. In contrast, only 1% of consumers intend to according to IOVE, is that “uncertainty regarding spend more on these items, as compared to 4% in monetary issues has been moderated, at least in the previous month. Trade with Greece Trade 57 58-65 Master ECONOMY_VOUTSADAKIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:09 ðì Page 58

The aim is to make full use of EU funds

An aggressive EU fund utilization policy: this is what the Ministry of Development has been pursuing in 2013, as part of the effort to boost liq- uidity, economic activity and employment, as well as to hit the Memorandum’s targets in regard to the absorption of NSRF funds.

By Kostas Voutsadakis

he year 2012 closed without any loss of Tfunds and with the target set by the Memorandum achieved by almost 90%, thanks to the effort made in the second half of the year to cover the slippage. This year, though, the bar has been raised even higher, close to €3.9 bil- lion; these funds are valuable for restarting the economy and holding unemployment in check. In regard to the SMEs programme, which had In this context, the government has announced been pre-published last spring and was eagerly the measures for injecting small and medium- awaited by the market, the general secretaries for sized enterprises with €456 million from the Public Investments (NSRF), Giorgos Panoussis, National Strategic Reference Framework for Industry, Spiros Eustathopoulos and for (NSRF), as well as the ICT4Growth programme, Tourist Infrastructure & Investments, Yannis while certain steps are also being taken to disen- Pyrgiotis, announced that the period for the sub- gage total funds of €300 million that have been mission of proposals would be from February 25 “parked” with the Hellenic Fund for till April 25, 2013. Entrepreneurship and Development (ETEAN) It is estimated that 10,000 existing and start-up businesses from all regions of the country will be
and to channel them to the market. Trade with Greece Trade 58 58-65 Master ECONOMY_VOUTSADAKIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:10 ðì Page 59

included in the programme, the total investments equity, bank loans, which may be supported by made will reach €900 million, and 4,000 new jobs NSRF financing tools, such as: will be created. a) guarantees from ETEAN SA for obtaining Investment assistance rates vary from 40% to investment loans or letters of guarantee; 60%, depending on enterprise size and region, b) the extension of low-interest business loans while start-up enterprises are also eligible to under favourable terms. receive financing of up to 25% of their operating The businesses that will participate in the pro- costs (e.g. rents, payroll etc.), which, nonethe- gramme may use the financing tools of the NSRF, less, cannot exceed 40% of the business plan as well as those of ETEAN, the Entrepreneurship budget. In order to cover their own participation, Fund, and the JEREMIE initiative, which are available through the banks.
prospective investors can use, apart from own Trade with Greece Trade 59 86 atrEOOYVUSDKS4-7KKUI _12.x 0421 01 ìPg 60 Page ðì 10:10 10/4/2013 1_21x29.qxd KAKOURIS ECONOMY_VOUTSADAKIS:44-47 Master 58-65

60 Trade with Greece 2.Advance payment of up to 100% of the public 1.The beneficiariesarenotanymoreobligedto ciaries includethefollowing: at simplifying procedures and/or assisting benefi- investments. Forexample,themeasuresaimed applicants’ participation, and the realization of the This activitywasdesignedtofacilitateboththe “ their ownparticipation(loanand/or equity); present evidenceoftheircapability tocover investments. realization ofthe participation, andthe both theapplicants’ designed tofacilitate This activitywas ” 12.Access tofinancingtools(ETEAN, Guarantee 11.A transparentandobjectiveevaluation-selec- 10.Classification ofeligibleBusiness Activity 9.Active involvement of the regions in all stages 8.Adaptation of the regulatory framework to the 7.Simplification ofadministrationprocedures 6.Subsidization ofoperatingcostsforsmalland 5.A widerangeofeligibleexpenses; 4.Advance payments to suppliers are eligible for 3.The publicexpenditurecomponentcanbepaid tion system; priorities setbyeachregion; Codes (KAD) according to the development tion; of theprogramme’s designandimplementa- needs ofeachregion; (reduction ofredtape); the budget; micro-enterprises (start-ups)ofupto40% certification andfinancing; plan; with therealizationof30%business letter ofguaranteethesameamount; expenditure allocatedtotheproject,againsta 58-65 Master ECONOMY_VOUTSADAKIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:10 ðì Page 61

Fund for Greek SMEs etc.), aimed at improv- ing the enterprise’s liquidity; 13.Preparation of a user-friendly Guide, for all regions, complete with all information required by the interested parties. The call for proposals for the action, the imple- mentation Guide and its Appendices have been posted on the websites of the Managing Authority of the Operational Programme ‘Competitiveness & Entrepreneurship’ (MA OPCE) http://www.antagonistikotita.gr, the NSRF www.espa.gr, and the Agency for the Management of the Operational Programme ‘Competitiveness & Entrepreneurship’ (EFEPAE) www.efepae.gr. The main features of the action: ● Eligible businesses include micro, small and medium-sized enterprises, either existing (for two or more fiscal years) or start-ups, which operate in the manufacturing, tourism and commerce-services sectors. ● Subsidized budgets range from €30,000 to €300,000 in manufacturing, €20,000 to €300,000 in tourism, and €20,000 to €100,000 in commerce-services. ● The deadline for the completion of the invest- ments is 15 months since the issuance of the decision for the incorporation of projects regarding the manufacturing and tourism sec- tors and 12 months in regard to commerce- services. The deadline can be extended for three months, following a request from the beneficiary of the aid. ● Eligible expenses include: buildings-facilities, machinery-production equipment, means of transportation, environmental protection and energy-saving equipment and facilities, know- how rights, quality assurance system certifica- tion, software and related services, promotion- advertisement, consultants’ fees and operating expenses. ● The applications must be submitted electroni- cally, via www.ependyseis.gr. In regard to the Business Activity Codes (KAD), i.e. the activities that can be included in the action, and in response to the protests from the representatives of retail trade enterprises about their exclusion from Community financing, the ministry stated that it carefully heard the demands and suggestions made by the representatives of the business world, adding that: “It is self-evident that the inclusion of as many sectors as possible to the programme is an aim, not only of the business world, but also of the min- istry’s political leadership. Based on the directions given by the European Commission, this time Trade with Greece Trade 61 58-65 Master ECONOMY_VOUTSADAKIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:11 ðì Page 62

emphasis was placed on innovation and the pro- Moreover, the submission of proposals for inclu- motion of each region’s comparative advantages. sion to the programme ICT4GROWTH (Business Especially for retail trade, an activity of obvious Aid for Implementing Investment projects in the importance for the Greek economy and employ- Development and Provision of Innovative ment, a special NSRF-financed action will be Products and Value-Added Services), budgeted soon proclaimed.” at €120 million, began on January 14. It should be noted that the ministry asked the The programme’s main aim is to provide assis- regions to classify the KADs that are eligible for tance to business plans for the design, develop- inclusion to the programme, in three categories ment and marketing of innovative products and (high, medium and low priority). This ranking will value-added services related to, or based on, infor- be taken into account during the assessment of mation and communications technologies (ICT). the proposals, in order to give emphasis to the A major breakthrough of the ICT4GROWTH ini- sectors that offer comparative advantages to tiative is that the final amount of the aid will be
each region. linked to quantitative targets, such as employ- Trade with Greece Trade 62 58-65 Master ECONOMY_VOUTSADAKIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:11 ðì Page 63

“ The investments can be realized in all parts of the Greek territory, with the exception of investments falling under Category II Large Investment Plans, which are eligi- ble only in the regions financed by the Digital Convergence OP. ”

diverse media and as many means of distribution as possible, such as: Virtualization (servers, stor- age, networks, apps, desktops), Cloud Computing, Energy Efficiency & Monitoring (IT efficiency & reuse, reduce of energy consumption), Unified Communications (technology issues: mobile plat- forms/integration of corporate and social media streams, organizational issues), Big Data (unstruc- tured data, duplication of data, storage - thin provi- sioning, security, backup - storage resource man- agement, compression etc.), Grid Technology, Web 2.0, Internet of Things, Open platforms & Open Source software and applications, Social Networks and business Media/digital marketing, Mobile serv- ices - smart devices and applications evolution, Location based services/GIS. The investments can be realized in all parts of the Greek territory, with the exception of investments falling under Category II Large Investment Plans, which are eligible only in the regions financed by ment growth and export activity. The realization of the Digital Convergence OP. the investments will comprise two distinct stages: Each proposal must be sited in only one geo- the first stage is about supporting the research & graphical region. Matching investments to specif- development of new products/services (R&D ic geographical regions is necessary for deter- stage), and the second stage is about supporting mining both aid intensities, and available budgets. the marketing of new products/services (commer- For example, the proposed region may be that of cialization stage). the registered seat, or a branch, or a new facility, The themes of these actions include: energy and of the business that submits the proposal. A main “green” growth; agriculture, fisheries and food; prerequisite is that all the expenses that can be tourism, culture and entertainment; health and allocated to the site are exclusively related to the welfare; electronic communications; transporta- specific geographical area of the investment. tion; the new global market of the Internet. Eligible entities include existing and start-up pri- The services developed under ICT4GROWTH vate businesses or partnerships, regardless of
will have to utilize cutting-edge technologies, legal form or size. Trade with Greece Trade 63 58-65 Master ECONOMY_VOUTSADAKIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:11 ðì Page 64

The action offers assistance to mature investment enterprises, as well as the issuance of letters of plans for the design, development and marketing guarantee. of innovative products and value-added services The working capital programme utilizes €170 mil- related to, or based on, Information and lion in NSRF funds, which had been “parked” with Communications Technologies (ICT). ETEAN, in order to finance Fund actions that The products and services that will be developed show low to zero absorption rates. The leverage through these investment plans may be offered to ratio for these funds has been reduced from 1:1 individual consumers, as well as to other busi- to 1:3, meaning that the €170 million available nesses. They can also comprise an end-prod- through the NSRF will be topped by another €170 uct/service, or be part of a more complex system. million through the banks, so that total working In any case, the end result of the investment capital loans to businesses will stand at approxi- (product or service) should: mately €340 million. This way, interest rate subsi- ● be technologically mature and fully operational dization will reach 50%, since the part of the loan in regard to its purpose; that originates from NSRF funds will be interest- ● utilize cutting-edge technologies; free, therefore borrowers will, in fact, be charged ● be innovative in terms of the technologies uti- with only half the market rate. lized, the nature of the services offered or the The banks deemed that the remaining €130 mil- overall marketing business model; lion in NSRF funds that are also “parked” with the ● target a clearly specified market, covering cer- Entrepreneurship Fund can be absorbed, and tain and real needs of this market; thus these funds remain available to the existing ● be competitive in comparison to similar prod- programmes, for which leverage ratios have also ucts or services available abroad (in case a been reset to 1:1, in order to facilitate absorption. competitive market already exists). These are programmes aimed at supporting Equally interesting is the option offered by entrepreneurship, young entrepreneurship, inno- ETEAN’s new programmes for the extension of vation, extroversion, tourism, the “Green” econo- working capital loans to small and medium-sized my etc. Trade with Greece Trade 64 58-65 Master ECONOMY_VOUTSADAKIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:13 ðì Page 65

In addition, ETEAN has, since last October, been immediate support to small businesses located implementing a guarantee programme for the on [Greek] islands and operating in the tourism issuance of letters of guarantee, with the aim of: sector, which, as a result of the prolonged eco- 1. supporting businesses, through the use of nomic crisis, have neither access to bank loans, bank letters of guarantee to their suppliers, in nor can cope with usual bank interest rates or the order to ensure the flow of goods and services interest rates of the existing financing tools, and without the use of capital; and in order to make the, necessary for their prepara- 2. supporting the economy without requiring the tion ahead of the upcoming tourist seasons, use of capital, thus releasing liquidity that can small-scale investment expenses, and/or mainte- be channelled to other financing purposes. nance expenses, and/or raw material procure- The initial budget of the programme stands at €45 ment expenses, and/or other working capital million, while the guarantee coverage rate amounts expenses related to the preparation or develop- to 50%. In other words, the total value of the letters ment of their activity ahead of the tourist season”. of guarantee cannot exceed €90 million. Finally, the European Investment Bank’s pro- Eligible letters of guarantee include bid guarantees, gramme for the enhancement of Greece’s exports performance guarantees and payment guarantees, is of great economic, as well as symbolic, impor- as well as advance payment guarantees for state tance, given that Greece is the first country where aids issued in favour of enterprises under state aid this programme is being implemented. According programs which are addressed to public authorities to the programme, the EIB will provide commer- managing and implementing state aid programmes. cial banks with guarantees of €500 million, in Meanwhile, the Ministries of Finance and order to finance the Greek enterprises’ interna- Development signed a joint ministerial decision tional trade transactions, effective from this April. approving the establishment of an “Island Loan It is estimated that these guarantees will support Fund”, which will be endowed with €80 million. an annual volume of transactions amounting to According to this decision, the Fund is estab- €1.5 billion, since these guarantees will be lished in order to cover “the need to provide revolving. Trade with Greece Trade 65 66-73 Master ECONOMY_TSAOULAS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:17 ðì Page 2

Greek exports: The dynamic call of the future

By Leonidas Tsaoulas

According to provisional data released by the Hellenic Statistical Authority (ELSTAT), in November 2012 Greek exports exceeded initial forecasts, albeit their growth was slower than recently anticipated.

hat is more, according to a similar the lack of information about the last month of the W survey, this month saw the best year- previous year. on-year export performance of the Moreover, it should be noted that, since 2011 is past three-years. the reference year, the recent incorporation of fur- This fact underscores the, admittedly, strong ther data regarding 2011 brought the final figure
performance of Greek exports in 2012, despite for this year’s exports to over €22.7 billion Trade with Greece Trade 66 66-73 Master ECONOMY_TSAOULAS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:17 ðì Page 3

lion, as compared to €14,677.0 million in the same period of the year 2011, increased by 6.7%. In the same time period, the total value of imports-arrivals, excluding oil products, fell to €27,714.8 million from €29,789.9 million last year, i.e. were reduced by 7%, while the corresponding trade deficit was reduced by 20.2%. In the period under review, 60.85% of Greek exports were directed to the EU, with the other countries absorbing 39.15%. It is very interesting to note that in the three-years from 2010 to 2012 there has been an obvious shift in favour of third countries, since the EU’s share has proportion- ately decreased by almost 6 percentage points, along with an impressive increase in the share of Greek exports to non-EU markets from 11.9% in 2011/10 to 22.0% in 2012/11! More specifically (based on data for the first nine months of 2012) the top-ten export destinations are: Italy, Germany, Bulgaria, Cyprus, UK, Turkey, USA, France, Romania, Russia, with the US and Russian markets moving up in this year’s rankings. On the same chronological basis, we can see that, as far as the composition of exports by major product categories is concerned, excluding oil products, the increase comes largely from the growth of raw material exports by 58% and agri- cultural product exports by 8.4%. Manufacturing product exports remained stag- nant, while the exports of low-value “Commodities and transactions not classified by category” (including confidential items) were reduced by 14.5% year-on-year. The list of Greece’s top-100 export products for the first nine-months of 2012 included some spectacular year-on-year changes, as cotton exports rose to the 7th place, telephone handsets to the 8th, electricity to the 10th and alumina to the 13th place, while, overall, many products from the fruit-vegetables and construction materials sectors also did well. On the sub-sector level, food-beverages prevail (with an export value of €2.27 billion, or 18.25% (instead of €22.45 billion, based on provisional of the total), followed by construction materials data), including estimates on the growth of oil (€1.91 billion, or 15.36%), machinery-vehicles- product exports. This attaches greater weight to equipment (€913 million, or 7.33%) and pharma- the export performance of 2011, obviously ceuticals-cosmetics (€763 million, or 6.13%). The increasing the importance of exports for 2012, 5th place is shared by minerals-raw materials and which, although based on provisional data, are clothing-textiles, each with export values of €384 clearly within the initial targets (a 4%-6% million and shares of 3.09%. Although the analy- increase), amidst an admittedly adverse domestic sis of data for the entire year under review will, and international environment, and are estimated obviously, provide a much more complete picture, at above €24 billion (including oil products). it is very unlikely that the main conclusions will Nonetheless, the total value of exports-dispatches, vary too much. excluding oil products, during the period from Nonetheless, it is clear that Greece is no more competing with the low-cost production of third
January to November 2012 stood at €15,653.7 mil- Trade with Greece Trade 67 66-73 Master ECONOMY_TSAOULAS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:17 ðì Page 4

countries, but has been, instead, promoting qual- ity products that incorporate innovation and expertise. This mostly applies in the case of agri- food products, where Greece possesses an unri- valled comparative advantage, which rests, on one hand on the country’s climate, and on the other hand on their uncontested quality. Agrifood products will, doubtlessly, continue to play a lead- ing role in Greek exports, without this meaning that we should downplay the dynamic presence of other products. It is well-known that the Greek economy is, for the past five years, being shaken by an unprecedent- edly fierce crisis, which affected all economic (and other) activities. The contraction of the domestic market, as a result of the reduction of disposable incomes, high unemployment and the curtailment of credit facilities, exerted severe pressure on businesses, forcing them to resort to overseas markets in order to ensure their mere survival. Of course, such a shift means that these businesses are actually capable of meeting the high –quite often very high– standards of the international market, in order to make sure that their effort is not just a flash in the pan. Therefore, it is very interesting to have a look at a survey (by the Pan-Hellenic Exporters Association, PSE) regarding the profiles of Greek enterprises that made the shift towards exports during the past three-years. A recent EU survey estimates that the number of going concerns in Greece stands at approximately 860,000 (having, nonetheless, decreased by 100,000 as compared to 2007), with small and medium-sized enterprises accounting for the vast majority (more than 99%), producing 70% of added value and providing 85% of total employ- ment; however, only one-fourth of these enter- prises is active in high-tech and knowledge-inten- sive sectors. That said, out of the total number of enterprises that operate in the Greek market, 12,000 (1.57%, ELSTAT data 2011) engaged in export activities on a permanent or temporary basis. Thus, the relevant survey of the PSE, which is based both on the registration of new members with the Association, and on the registration of exporters with Greece’s Chambers of Commerce and Industry, shows that during the, undoubtedly crucial, period 2010-11, 2,000 enterprises ven- tured into overseas markets for the very first time. Some of these enterprises were established for this specific purpose; however, some existing and, until then, exclusively domestic-market oriented firms also took their chances with exports. Moreover, this survey took into account the intent
Trade with Greece Trade 68 67 atrEOOYTAUA:44 AORS12x9qd1//031:8ð ae5 Page ðì 10:18 10/4/2013 1_21x29.qxd KAKOURIS ECONOMY_TSAOULAS:44-47 Master 66-73 ing conclusions,thedataseem tocorroboratethe Notwithstanding the caution required when reach- sized enterprisescategory. businesses belong to the small and medium- the annualturnover, three-fifthsofnewextrovert Based onthenumberofpersonsemployedand remaining 1.6%arefarmers’ co-operatives. ships, 8.3%arelimitedpartnershipsandthe sole proprietorships, 16.6% are general partner- 23.3% arelimitedliabilitycompanies,18.3% oriented (2010-11) aresociétésanonymes, i) below: the survey, we are presenting its main findings Bypassing issuesrelatedtothemethodologyof Profile”. the “NewGreekExporter’s to export, while its main purpose was to outline 31.6% oftheenterprisesthatbecameexport- 8.3%intransport-transportequipment ● 10%inmachinery-equipment ● 30%ofnewcompaniesareactiveinthefood ● vey’s findings: tion ofnewexportcompanies,basedonthesur- ii) remainder medium-sizedenterprises. one-third smallandmicroenterprises,the ing: one-fourthlargeandveryenterprises, Greek exporterswas(approximately)thefollow- that, untiltheearly2010s,overallprofileof ner, butasagrowthchoice.Itshouldbenoted strategies, notinanadhocorcoincidentalman- gradually incorporatingexportsintotheirbusiness small andmedium-sizedenterpriseshavebeen apparent growthofthecountry’s exportbase,as Reasonable interest is raised by the classifica- sector
69 Trade with Greece 66-73 Master ECONOMY_TSAOULAS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:18 ðì Page 6

● 6.6% in printing-packaging depart from the prefecture of Attica; however, in ● 5% in construction materials the three-year period 2010-12 other Greek ● 5% in clothing-footwear regions made a dynamic entry into the field of ● 5% operate as export consultants-representa- exports, such as the regions of Western Greece, tives-brokers Central Macedonia etc. Next on the list are plastics, IT-software, pharma- ceuticals-cosmetics, chemical fertilizers etc., The deep crisis that the Greek economy is going while the remaining 12% comes under the head- through and the Greek society is experiencing at ing “Other Sectors”, which includes a multitude of a great cost may have stimulated Greek exports, activities, nonetheless verifying the extrovert ten- contributing, for the reasons explained above, to dencies of a wide range of business sectors. their spectacular growth, but at the same time made many, if not all, realize that there is no iii) The survey shows that three quarters of new steady prosperity without a solid productive export companies are based in the wider area of base. It proved that economic and social disas- the capital (prefecture of Attica), subject to the ter is not a remote possibility when fiscal deficits possibility that a number of new export compa- and output shortages are combined into an nies have registered with other exporter associa- explosive mix. tions (Northern Greece, Crete). It also alerted many researchers to the causes of It should be noted, though, that, as shown by the loss of competitiveness and the consequent
other surveys, at least half of Greek exports deterioration of Greece’s current account during Trade with Greece Trade 70 66-73 Master ECONOMY_TSAOULAS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:18 ðì Page 7

produce exportable goods and services (industry, tourism, shipping, etc). ... The remaining 30% (i.e. approximately 6.5 percentage points of price competitiveness loss according to official esti- mates) is due to the increase of prices and wages in the export sector vis-à-vis the country’s trading partners. A portion of this loss in price competi- tiveness is due to the nominal appreciation of the euro.” So, now that we are in the beginning of 2013, awaiting for the final figures regarding the previ- ous year, it is estimated that the current account deficit will fall below 5% of GDP, certainly due to the drop in imports, and also due to the increase in exports, without, of course, ignoring the contri- bution of tourism and shipping. These develop- ments create a new image for the Greek econo- my, an economy that is more open, more extro- vert and more internationalized, while it is expect- ed that this image will be further enhanced, prov- ing that this improvement is not an one-off, chance event. In the same vein, we are expecting the full restoration of the Greek economy’s price compet- itiveness at 1995 levels within 2013, along with the cumulative reduction of unit labour costs by 30% during the period 2009-2020. As a result of the drastic reduction of nominal wages in the past three years, the Greek economy has recovered almost all the competitiveness it had lost in terms of labour costs. Today, the Greek economy is trying to reposition its brand in international markets, often against their misgivings, amidst an adverse international climate and while struggling to cope with a multi- tude of problems on the domestic front. Exports may be opening huge markets to Greek products, the past ten years. This loss can be attributed to but at the same time they are pitting them against four factors: i) the increase of unit labour costs international competition. This means that trad- vis-à-vis Greece’s trading partners; ii) the appre- able products should not only be appealing to for- ciation of the euro, especially during the first three eign customers, but should also be more appeal- years after its introduction; iii) the low structural ing than their competitors. competitiveness of the Greek economy, which is Despite what is being said –admittedly less and translated into low technology content and low less– Greek exports have great potential and quality competitiveness of exports; and iv) the prospects for further growth. For example, our rise of non-tradable goods’ and services’ prices country’s primary sector is in front of a systemic vis-à-vis tradables. opportunity, which has to be fully utilized. This A 2011 report by Eurobank EFG* noted that: opportunity stems from the continual increase in “International organizations and the Bank of global demand for food, and the resulting Greece estimate that during this period [2000- increase in food prices. There is no doubt that 2009] real appreciation of approximately 20% these trends reflect demographic, climatic and was accumulated. ... 70% of this loss in price geopolitical developments of global magnitude, competitiveness is due to an increase in wages which are, obviously, taken into account for plan- and relative prices in sectors of non-tradable ning purposes, on both the national and the busi- goods and services (public sector, services for ness level. It should also be noted that there has domestic consumption, constructions, etc) in been a change in consumer habits in favour of
comparison to wages and prices in sectors which

*“Competitiveness, External Deficit and External Debt of the Greek Economy”, Economy & Markets, Eurobank EFG, Volume VI, Issue 7, April 2011. with Greece Trade 71 66-73 Master ECONOMY_TSAOULAS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:19 ðì Page 8

high quality, or specialised, agricultural products, accounting for 23% of the total turnover of Greek and this change has not been limited to devel- food industries. oped markets, but, in some cases, has also It has to be stressed that in certain food cate- affected large market segments in emerging gories Greece is among the largest exporters economies. Our country has well-known and rec- worldwide. For example, it is the world’s number ognized comparative advantages in regard to one in peach preserve exports, and the top these products (e.g. organic produce), as well as exporter of breams and sea basses, also claiming to other products that are recommended for a significant shares in the overseas markets for healthy diet or possess unique characteristics, yogurt, feta cheese, beer, soft drinks, as well as and should exploit these advantages, also to the certain delicatessen goods. benefit of consumers-clients-importers in diverse As far as the manufacturing sector is concerned, markets. we should underline the export dynamism of the In any case, according to data from the agricultural product processing industry, without, Federation of Hellenic Food Industries (SEVT), of course, ignoring chemicals, raw materials, con-
the value of food exports exceeds €3 billion, struction materials, household items and technol- Trade with Greece Trade 72 66-73 Master ECONOMY_TSAOULAS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:19 ðì Page 9

ogy products. Overall, it is estimated that the competent and flexible state and a clearly export- country’s productive fabric has made a gradual oriented private sector. shift towards tradable products, obviously link- The further enhancement of the Greek economy’s ing production to the market and to the coun- extroversion requires the encouragement of inno- try’s overseas customers and their consumption vation, requires investment and the mobilization patterns. of dynamic enterprises that will be able to find In this context, it is self-evident that competitive their way into international markets, having con- production requires investment in innovative sec- sistency as their passport, offering high quality tors, or even the introduction of innovative prac- products and services, and fully respecting their tices to traditional sectors, including commerciali- international customers’ expectations and sation and promotion practices. demands, on the basis of mutual benefit. The Greek economy is in transition. The transition to a new model is neither self-evident nor can be The progress of the past three-years shows that taken for granted, and requires time, target-setting, Greek exports are on a good path. Let’s keep it clear thinking, hard work, persistence, patience, a like that. Trade with Greece Trade 73 74-80 Master ECONOMY_YPOFANTIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:31 ðì Page 2

19 direct measures for facilitating exports and cutting down on costs and red tape A new road map for exports By Nickos Ypofantis

reek exports continued to grow in 2012, The estimates that were presented after the increased by €2 billion as compared to Greek government set out its National Export G2011. They added a total of €24 billion to Strategy and, in particular, the plan for facilitating the Greek economy. This is equivalent to 12.6% of exports and the relevant road map, fill Greek the country’s GDP, while, if the exports of services exporters with optimism for the period 2013-2014, are also taken into account, export-oriented Greek when the value of exports is expected to exceed enterprises account for more than 20% (possibly 16% of GDP – 26% if services are also included.
even 23%) of the gross domestic product. Trade with Greece Trade 74 74-80 Master ECONOMY_YPOFANTIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:31 ðì Page 3

A three-pillar National Strategy

The first pillar is trade facilitation. The second is to enlarge Greece’s export base, as well as the number of exporters and exported products. The third pillar is export promotion. The aim is to find overseas buyers for Greek products, by making a fresh approach to traditional destinations and penetrating new emerging markets and networks. The first stage of initiatives has already been completed, with the assistance of experts from the United Nations Economic Commission for Europe (UNECE), which specializes on Trade Facilitation-Single Window issues, and the basic framework for reform has been laid out. The measures that comprise the corresponding road map for trade facilitation are designed to simplify both pre-customs and customs proce- dures. By encouraging exports and facilitating cross-border trade for companies based in Greece, the government is developing two main actions: it revises the existing procedures and processes, with the aim of ensuring their rational- ization and simplification wherever deemed nec- essary, in order to reduce the time and adminis- trative cost needed to export, and gradually intro- duces a single information system, a one-stop- shop for facilitating exports: the “Single Window”. These policies and actions are considered to be absolutely necessary for Greece, which is lagging far behind other countries. It has been observed that, on average, only 5% of exports undergo cus- tom inspections in EU member states, as com- pared to 40% in Greece. According to UNECE experts, this is due to the imperfect operation of the e-customs system, a dysfunctional risk assessment system and a per- vasive inspection mentality. Greek technocrats realized how much this costs in terms of time, money and transparency, and came up with a simple export procedure, based on transparency, the security of transactions and speed, which simplifies matters, reducing the time to export from 19 days –of which, 14 are eaten up by bureaucratic paperwork– to the EU average of only 10 days. The government aims at achieving a 1% increase in the value of exports for each day export processing times are reduced. Measures for simplifying export procedures

The strategy for simplifying export procedures comprises 25 actions – 19 principal and 6 auxil- iary. The first objective is to reduce the number of days needed to export by 50% by 2015. More Trade with Greece Trade 75 74-80 Master ECONOMY_YPOFANTIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:31 ðì Page 4

specifically, the aim is to reduce the number of ● Faster custom clearance (no queues at cus- days from 19 to 15 by the fourth quarter of 2013 toms offices). and to 10 by the fourth quarter of 2014. The sec- ● A single –electronic– point of transactions; ond objective is to reduce the administrative cost automated electronic procedures for the sub- to export by 20% by 2015. Today, it costs mission/exchange of data & information. US$1,115 on average to export a container from ● Faster and interactive updating/monitoring of Greece, as compared to an EU average of transaction flows. US$1,009. These interventions will help the coun- try achieve a reduction of 10% in the fourth quar- We must all understand the importance of these ter of 2013 and 20% in the fourth quarter of 2014, measures for the national economy. Based on in order to bring the cost to export down to research by the World Bank and the Centre of US$892 per unit. The third objective is to estab- Planning and Economic Research (KEPE), the lish the Single Window, i.e. a one-stop-shop for successful implementation of all the above by exports. All simplified procedures will be accessi- 2015 will lead to: ble through this Single Window, starting from the first quarter of 2015. ● a 10% increase in exports; The government’s intention is to benefit ● a 1.7% increase in GDP;
exporters, since these measures lead to: ● 80,000 new jobs. Trade with Greece Trade 76 48 atrEOOYYOATS4-7KKUI _12.x 0421 03 ìPg 5 Page ðì 10:32 10/4/2013 1_21x29.qxd KAKOURIS ECONOMY_YPOFANTIS:44-47 Master 74-80 cedures, with the aim of simplifying them. The recording and analysis of existing business pro- The secondsetconsistsofactionsrelatedtothe which willhavebeenfinalizedby the endof2014. information about the necessaryprocedures, and provideexporterswitheasiersimpler to combine this legislation with EU instruments, product andcountryofdestination. The aimisalso needed and/ornecessary, legislation,pertypeof aim is to gather, simplify and codify, whenever provision ofinformationtoexporters. The state’s the gatheringofnationallegislationand The firstsetofactionsconsiststhoserelatedto comprises 25actions,19principaland6auxiliary. The strategyforsimplifyingexportprocedures A 19-actionstrategy risk cases,asisthecaseinmost EUcountries. tools, to ensure the automated clearance of low- of existingriskassessmentandanalysis The fifthsetincludesthestreamlining/expansion cantly increasingtransparency. ance, instead of customs clearance, thus signifi- Greek authoritiesaimatpromotinglocalclear- exports by2015.Bymeansoftheseprocedures, to ensurethattheyrepresent25%ofthevalue 23 AEOs are currently active, and the objective is stage, butalsoabroad.Itisworthnotingthatonly ensures fastprocedures,notonlyattheexport tered for Authorised EconomicOperator, which intends to increase the number of traders regis- exports by2015.Moreover, thegovernment dures account for 50% of the total value of while theaimistoensurethatsimplifiedproce- number torise50in2013,and1002014, stands atonlythree. The government expectsthis tered forsimplifiedprocedures,whichcurrently aim ofincreasingthenumbertradersregis- exports atthecustomsclearancestage,with quantifiable targets regarding the facilitation of In thesecondphase,governmentwillset the needsofexporters. that customs-office related ministrydepartmentsin2014,toensure rolled-out toallcustomsoffices, aswellall order to optimize these procedures will be in year the within established be will that dures proce- customs analyzing for programme pilot The with thecustomsoffices’ structuralproblems. to eliminateunnecessaryproceduresand deal aim istostreamlinecustomsoperations,inorder to pre-customs and customs procedures, and the The fourthsetofactionscomprisesthoserelated the basisofEUstandards. ures designedtoreduce/eliminatethosefeeson end of2013,andthegovernmentwilltakemeas- the entireexportprocesswillbecompletedby ment ofallfeespaidbybusinessesthroughout related governmentagencyfees. The assess- ernment aims at reducing or eliminating export- by highadministrativecosts. To thisend,thegov- to export. In Greece, exports are weighed down The thirdsetofactionsaimsatreducingthecost products in2014. ucts willbelaunchedin2013,followedby5more and theUN,whileBPAs foranother5prod- cials andtheassistanceofboth Task Force with theparticipationofpublicadministrationoffi- the country, andmorespecifically, fetaandkiwis) launched for 2 pilot products (representative of Process Analyses (BPAs) havealreadybeen and bureaucratic obstacles to export. Business recording ofprocedureswillhighlightthecosts hours arealwaysinlinewith
77 Trade with Greece 74-80 Master ECONOMY_YPOFANTIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:32 ðì Page 6

The most important reform concerns the electronic submission of applications for certificates, licenses, authorizations, as well as the encouragement of exporters to use electronic procedures. The sys- tem for the electronic submission of documentation to customs offices will have been completed by the end of 2013, while the introduction of e-payments for all cross-border trade-related administrative agencies will be completed in 2014. The benefits for Greece

These actions are budgeted at a total of approxi- mately €14,550,000. The funding resources are expected to be covered by EU structural funds. According to Greek officials, the actions will pro- duce great benefits by: ● reducing the administrative burden, freeing up resources and increasing efficiency; ● producing more precise statistical data and more direct information, thus enabling the state to intervene whenever required; ● ensuring the proper allocation of revenues and enhancing security and transparency in trans- actions; ● improving the compliance culture and the com- pliance rate among exporters. Senior government officials say that this trade facilitation strategy can become the cornerstone of Greece’s economic regeneration. The full implementation of this road map and, by exten- sion, the overall reform of export procedures, can undoubtedly become the success story that will set the example for other important reforms. Export survey: Global recession threatens to slow down exports

Various surveys (SWOT analyses) conducted by the Panhellenic Exporters Association (PSE) in regard to the growth of exports in 2013, reveal a series of threats to Greek exports: These include the following: ● The recession is expected to persist in many EU countries that are Greece’s main trading partners. ● More than 40% of exporters are facing severe liquidity problems, also due to delays in VAT refund disbursement. ● The smooth operation of Greece’s banking system has not been yet restored, thus affect- ing the ability to absorb NSRF funds. ● As far as the implementation of Greece’s International Economic Policy is concerned, competency overlaps continue to exist among more than 5 ministries.
Trade with Greece Trade 78 74-80 Master ECONOMY_YPOFANTIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:32 ðì Page 7

That said, the analyses show that new markets by 14.2%), severely limiting the growth of exports are being opened in non-EU third countries in the in November 2012. case of products such as olive oil and raw mate- rials, whose exports rose to 39.9%, while exports Export toolkit to EU countries accounted to 60.1% of the total. In November 2012, exports to the European With the help of the Hellenic Export Promotions Union grew at a faster rate than exports to third Organisation (HEPO) and the countries (4.2% vs. 2.1%), enhancing the recov- www.startupgreece.gov.gr website, this section ery of Greece’s trade with its European partners presents some necessary tips on the develop- that began in October. ment of activities abroad, proper market research, The main drivers of this recovery were olive oil export methods, the creation of competitive prod- products (+58.5%) and, most importantly, raw ucts, and pricing. materials (+63.4%). In contrast, alcoholic bever- ages and tobacco exports continued to fall (down 1. How to start exporting by 10.6%), while the exports of industrial products In order to export, you must first create your prod- –which account for a substantial part of the total uct or, even better, your product range. A well-
value of exports– suffered a steep decline (down conceived product should fulfil the following three Trade with Greece Trade 79 74-80 Master ECONOMY_YPOFANTIS:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 10:32 ðì Page 8

conditions: Proper design, carefully studied pack- 4. How to promote your product in foreign aging and certification. markets The promotion tools available to enterprises are, 2. How to adapt your product for the export more or less, similar to those used in domestic market markets. They include advertisement, promotion- Prepare a plan that includes research and may also al material, e-mails, personal visits, participation contain the study and mapping of competing prod- in expositions, and corporate websites. ucts, packaging and presentation, competitive prices and product acceptance. Exporters should 5. How to penetrate foreign markets get potential importers acquainted with their prod- In general, the methods for introducing a product ucts and discuss with them the conditions concern- to a foreign market include direct exports, exports ing the sale and distribution of similar products. through third parties, and partnerships with domestic or foreign enterprises. 3. How to price your exports The pricing of exports is a key procedure, since it Similar information, statistical data, and tips about takes into account, apart from production costs, the financing and insurance of exports, are avail- many other factors related to the transportation able on the website of the Panhellenic Exporters and delivery of merchandise to foreign markets. Association, www.pse.gr. Trade with Greece Trade 80 82-83 Master interview_PAPAGEORGIOY:06-07 Karamanlis 21-29.qxd 10/4/2013 10:36 ðì Page 1 82-83 Master interview_PAPAGEORGIOY:06-07 Karamanlis 21-29.qxd 10/4/2013 10:37 ðì Page 2

Energy and natural resources contributing to growth

This year marks the turning point of the most important national challenges in decades. The foundations we have built with our ongoing reform effort are showing tangible results and the sacrifices made by the Greek people are finally starting to bear fruit.

By Makis Papageorgiou, Deputy Minister for the Environment, Energy and Climate Change

n fact, within a very short period of time, market, underpinning vital economic sectors. amidst a tough financial environment, Greece Through commitment, consultation and coordi- Imanaged to secure its financing and promote nated effort, we are working on improving gener- significant reforms. al economic condition using energy as a tool: We succeeded in restoring confidence through our commitment to take all actions necessary for ● We are progressively restoring the liquidity and achieving recovery and development, in accor- securing the viability of the energy market, bal- dance with our vision and plan to put Greece back ancing the burdens among consumers, while on the path of growth. introducing measures for the protection of vul- Our priority now is to establish appropriate condi- nerable groups. tions for sustainable growth, by encouraging for- ● We are assisting production output through eign investments and sound business initiatives. targeted actions aimed at rationalizing energy We are thereby creating the right conditions and costs, thus supporting the competitiveness of development prospects, so that Greece can make enterprises and preserving domestic jobs. the most out of its potential: ● We are reforming the regulatory framework concerning the wholesale electricity market by ● We are securing energy efficiency in the long gradually introducing the so called “Target term. Model”, eliminating distortions and encourag- ● We are enhancing energy security through the ing competition. diversification of routes and sources of supply. ● We are modernizing the operational framework
● We are establishing a competitive energy that governs the fuel market, by implementing Trade with Greece Trade 82 82-83 Master interview_PAPAGEORGIOY:06-07 Karamanlis 21-29.qxd 10/4/2013 10:37 ðì Page 3

“ Our priority now is to establish appropriate conditions for sustainable growth , by encouraging foreign investments and sound business initiatives. ”

concrete measures, in close cooperation with any further burden for the state budget and the the other responsible ministries and through enhancement of competition, with significant meaningful consultation with representatives benefits for all types of consumers. from the market. ● We are supporting Greece’s active participation ● We are encouraging sustainable development in the planned infrastructure projects regarding and the utilization of our substantial mineral electricity and gas interconnections for the resources, in accordance with the highest transportation of energy from new sources in environmental standards. We are thereby cre- the regions of the Caspian Sea and the east- ating new jobs, revenues for the state budget ern Mediterranean. and additional value for the economy. ● We insist on the privatization programme, Through the aforementioned policies and actions, believing in its multiple benefits: the capital inflow we are simultaneously promoting multiple objec- necessary for the development of the compa- tives, so that energy can become a stable and nies concerned, the creation of new jobs without reliable pillar in our effort for growth. Trade with Greece Trade 83 84-90 Master ENERGY_COLONAS:122-128_Kaitatzidis 21-29.qxd 10/4/2013 10:40 ðì Page 94

Energy market priorities

The completion of the electricity market’s deregulation, the privatization of the Public Gas Corporation (DEPA) and the developments regarding hydrocarbon exploration in Greece, are expected to monopolize the interest of the domestic energy market during 2013.

By Christos Colonas

he privatization of the incumbent, the very low prices, as these will from now on reflect TPublic Power Corporation (PPC) is also generation costs, while alternative suppliers will expected to be set in motion during the be able to compete with the incumbent. year. At the same time, investor involvement in The price hikes, starting from January 1st, in the Renewable Energy Sources sector is imped- accordance with the provisions of the new ed by the government’s decision to impose an Memorandum, will be completed in three rounds. extraordinary tax on generated power, in order to The second round has been scheduled for May 1 cope with the deficits in the electricity market. and the third for July 1. More specifically, as far as the electricity market According to the political leadership of the is concerned, the Ministry for the Environment, MEECC, first-round price increases range from Energy and Climate Change (MEECC) and the 8.6% to 12.76% for home consumers, farmers, as Regulatory Authority for Energy (RAE) well as commercial and industrial enterprises announced –also based on the troika’s demands– connected to the low-voltage grid. the first set of low-voltage price hikes, leading to At the same time, the MEECC leadership amend- full low-voltage price deregulation in July. This ed the criteria for the inclusion of socially vulner-
way, the PPC loses the prerogative of charging able groups to the Social Price Schedule for Trade with Greece Trade 84 84-90 Master ENERGY_COLONAS:122-128_Kaitatzidis 21-29.qxd 10/4/2013 10:40 ðì Page 95

Apart from deregulating low-voltage prices, the RAE and the MEECC introduced the new Code of Electricity Supply. The CES includes, among others, provisions that specify the contents of the Supply Contracts, the minimum information that must be included in electricity bills, as well as the services that suppli- ers are obliged to provide their customers with. Of equal importance are the provisions of the CES that spell out both the suppliers’ obligations towards their customers and the corresponding obligations of the consumers, as well as the pro- cedures for changing a supplier, in order to facili- tate the development of sound competition to the benefit of consumers, in accordance with the pro- visions of EU legislation. The CES also includes provisions regarding the Supplier of Last Resort (SoLR) and the Universal Service Supplier (USS), which incorporate the experience gained from the recent activation of these services following the revocation of certain retail suppliers’ operating licenses. Moreover, the CPE includes three special Annexes, setting the guidelines and good prac- tices all suppliers should adhere to, regarding a) the pricing of the services provided, b) issues per- taining to communication with consumers, and c) the handling of customer demands and com- plaints. Finally, there are also special provisions for safe- guarding the rights of small customers, especially those belonging to socially vulnerable groups. The RAE’s next step in 2013 will be to finalize the regime for auctioning the power generated by PPC’s lignite and hydro plants, in order to ensure the private producers’ entry in the segment of low- cost generation, which has been the incumbent’s monopoly up to now. “ According Hydrocarbons Households to the political lead- The year is also expected to bring (SPCH), with the ership of the MEECC, first- aim of expanding developments in the field of hydro- it, thus “reliev- round price increases range carbons. ing” as many from 8.6% to 12.76% for home Norway’s PGS is finalizing its consumers as seismic surveys for the offshore possible. The consumers, farmers, as well as hydrocarbon fuel deposits in the SPSH, which is commercial and industrial Ionian Sea and the area south of 42% lower than Crete, with a special vessel called regular electricity enterprises connected to “Nordic Explorer”. prices, is available the low-voltage grid. The first official data will be released to low-income individu- within the year, shedding light on the als, unemployed individu- “mystery” regarding the existence of large als, parents of at least three chil- natural gas deposits in Greece. If such ” deposits indeed exist, the government intends to dren, disabled individuals, as well as persons with proclaim an international round of block conces-
medical problems requiring mechanical support. Trade with Greece Trade 85 84-90 Master ENERGY_COLONAS:122-128_Kaitatzidis 21-29.qxd 10/4/2013 10:40 ðì Page 96

sions in late 2013 or early 2014, in order to bring in the first rigs. Moreover, in the first quarter of 2013 we are expecting the completion of the ten- der for the concession of oil and natural gas exploration rights on three blocks in the Gulf of Patras, western Katakolo and Ioannina. The possibility of the existence of large hydrocarbon reserves in Greece, especially in the area south of Crete and the Ionian Sea, has been cor- roborated by a report by Germany’s Deutsche Bank, which estimates the value of undersea natural gas reserves at €427 billion. The report cites available geological surveys, stating that, if these reserves were actually proven, the gain for the Greek state would stand at €214 billion, i.e. 107% of the current gross domestic product. According to Deutsche Bank, these rev- enues will start kicking in from 2020, when Greece’s debt is expected –according to the set target– to decrease to 120% of GDP. Hydrocarbon production usually starts 8-10 years after the deposits have been verified. The report reaches this €214 billion figure –i.e. the state’s revenues– on the basis of the assumption that 25% (of the €427 billion) accounts for the cost of extracting and distributing the natural gas, another 25% represents the companies’ profit margin, and the remaining 50% repre- sents the public sector’s revenues. Deutsche Bank’s report also assesses the risk borne by foreign investors regarding the offshore deposits south of Crete. Thus, in regard to the political cli- mate, the report states that, if these fig- ures were confirmed, Greece would become the 15th largest natural gas producer in the world, and this would encourage centrifugal trends in regard to the country’s European prospects. Given that foreign hydrocarbon compa- nies are used to operating in less stable political environments, business risk is deemed to be limited. DEPA -DESFA

Moreover, the completion of the tender for the sale of DEPA-DESFA is expect-
ed in the first half of 2013. Trade with Greece Trade 86 84-90 Master ENERGY_COLONAS:122-128_Kaitatzidis 21-29.qxd 10/4/2013 10:41 ðì Page 97

The RAE’s next step in 2013 will be to finalize the “ regime for auctioning the power generated by PPC’s lignite and hydro plants ”

The five “suitors” have already submitted their acquisition of the DEPA group either with, or with- non-binding bids, as part of the first stage of the out ownership separation (unbundling) of the two auction. Reportedly, Gazprom offered €900 mil- entities (DEPA-DESFA). More specifically, if lion for DEPA, while Negusneft, a Sintez group DEPA and DESFA are sold together (bundled), company, offers €1.8 billion for both DEPA and 100% of the DEPA group will be sold, but the DESFA (the Hellenic Gas Transmission System state will retain a 34% stake in DEPA’s subsidiary, Operator). The next bidders were “Μ&Μ GasCo”, i.e. DESFA. a joint venture of the Vardinoyannis and In case the entities are sold unbundled, 100% of Mytilineos Groups, with an offer of €540 million for the DEPA group will be sold excluding DESFA, or DEPA; Socar (the state gas utility of Azerbaijan), including 66% of DESFA, albeit with the state which offered €460 million for DESFA; and a con- retaining a 34% stake in the operator. sortium between the Czech Republic’s PPF fund The Hellenic Republic Asset Development Fund and Greece’s GEK TERNA, which offered €400 (HRADF) has launched the second and final million for DESFA. stage of the privatization auction. At the same
It should be noted that the tender concerns the time, it allows joint ventures –even those that did Trade with Greece Trade 87 84-90 Master ENERGY_COLONAS:122-128_Kaitatzidis 21-29.qxd 10/4/2013 10:41 ðì Page 98

not qualify to the final stage of the auction– to private power producers gain access to the form partnerships, both among them and with incumbent’s lignite and hydroelectric capacity. third companies. The government is expected to create a smaller PPC, or even more small PPCs. In a nutshell, it PPC is expected to create one or more “baskets” comprising lignite and hydro units that will be The privatization of the Public Power Corporation put on the auction block. After that, a decision (PPC) is also expected to get going during the regarding the entry of a strategic investor in year. PPC cannot be ruled out. On this front, the government must comply with Until, though, these plans are actually given the the troika’s demand for a quick privatization and go, the RAE will start auctioning the power gen- a swift inflow of cash in the state’s coffers, as erated by coal-fired or hydroelectric plants, in well as with EU legislation, which requires the order to ensure the immediate opening of the
“unbundling” of the PPC, in order to ensure that electricity market. Trade with Greece Trade 88 84-90 Master ENERGY_COLONAS:122-128_Kaitatzidis 21-29.qxd 10/4/2013 10:41 ðì Page 99

“ Norway’s PGS is final- izing its seismic surveys for the offshore hydrocarbon fuel deposits in the Ionian Sea and the area south of Crete, with a special vessel called “Nordic Explorer”. ”

RES

In 2012, wind-energy growth in Greece lost its pace. Despite this fact, total investment amount- ed to almost €150 million. In addition, the RES sector as a whole more than €2.5 billion-worth of investment. These are the findings of the Hellenic Wind Energy Association (HWEA). This means, according to HWEA, that the wind energy market is alive and has lot of potential. Taking into account the multitude of projects that are mature for implementation, wind energy can, indeed, take off in the next two years. It only requires political stability and a stable investment regime. If these conditions are not met, the growth rate will con- tinue to dwindle. The HWEA has urged the government, the politi- cal parties and the Greek Parliament to confirm their support to wind energy, which provides cheap and clean electricity. The HWEA presented its Hellenic Wind Energy Statistics for 2012 (HWD2012). Based on HWD2012, total wind capacity in commercial or test operation by the end of 2012 amounted to 1,746 MW. This capacity is distributed as follows: ● Non-interconnected Greek islands: 284.6 MW ● Interconnected system: 1,461.4 MW

New wind capacity installed in 2012 amounted to 111.75 MW. The growth rate fell to 6.8% year-on- year, compared to 23.5% in the end of 2011, the Trade with Greece Trade 89 84-90 Master ENERGY_COLONAS:122-128_Kaitatzidis 21-29.qxd 10/4/2013 10:42 ðì Page 100

best year in regard to wind energy growth in 5. ELLAKTOR with 146.8 MW (8.4%). Greece. As far as regions are concerned, Central (Sterea) As far as wind turbine manufacturers are con- Greece remains the leader in installed wind capac- cerned, the situation is as follows: Vestas has ity with 548 MW (31.4%), followed by the supplied 49% of total wind capacity installed in Peloponnese with 340.75 ΜW (19.5%) and Eastern Greece. It is followed by Enercon with 22%, Macedonia & Thrace with 240.6 MW (13.8%). Siemens with 11%, Gamesa with 10% and Nordex with 4%. The Top-5 energy producers are: In 2012, the market shares were the following: 1. EDF with 298.8 MW (17.1%) 2. Iberdrola Rokas with 250.7 MW (14.4%) 1. Vestas 46.6% 3. Terna Energy with 241.5 MW (13.8%) 2. Enercon 38.2% 4. ENEL Green Power with 200.5 MW (11.5%), 3. Gamesa 15.2% and Trade with Greece Trade 90 92-96 Master CONSTRACTION_EYTHIMIADHS:130-136_Haralambidou21-29.qxd 10/4/2013 10:48 ðì Page 93 29 atrCNTATO_YHMAH:3-3_aaabdu12.x 0421 04 ìPg 94 Page ðì 10:49 10/4/2013 CONSTRACTION_EYTHIMIADHS:130-136_Haralambidou21-29.qxd Master 92-96 92 Trade with Greece 92-96 Master CONSTRACTION_EYTHIMIADHS:130-136_Haralambidou21-29.qxd 10/4/2013 10:49 ðì Page 95

Motorways become the linchpin of major project policy

The government aspires to bring the bulldozers back into the main highway projects, having reached a gentlemen’s agreement with the four joint ventures that have been constructing the country’s major road axes, while the banks’ attitude remains key to the whole venture. The government’s aim is to capitalize on the reversal of the overall climate and boost the country’s growth, since the funds allocated for the completion of the projects are equivalent to almost 2% of GDP.

By Panayotis Efthimiades

he resumption of the stalled projects will attempting to breathe new life into “Ionia Odos” lead to the creation of almost 30,000 new (Motorway 5), National Road E65, “Olympia Tjobs, as well as the improvement of the Odos” (Motorway 8) and the Aegean Motorway, road network and road safety, since the construc- through this deal that, notably, downsizes the tion of 4 motorways ensures the completion of the overall physical component of the projects, 20% trans-European transport network (TEN-T) that of which are transferred to a second stage. The traverses Greece, while other important upshots reduction of the technical component of two high- include the immediate invigoration of both the way projects also brings down their construction entire construction sector and the building materi- costs, while it is estimated that the remaining sec- als industry (two sectors that are inextricably tions will be delivered in 2015-2016. linked, employ tens of thousands of workers and The construction of the other 80% of the projects have been directly hit by the current economic sit- is scheduled to continue as planned. The deal uation), as well as the confidence shown in prac- also provides for no change in toll policy, as toll tice by major international investors that have revenue loss already amounts to almost 45%. invested, and are willing to keep on investing, in This loss will be proportionally shared between Greece. Moreover, the restart of the projects, in the state and the concessionaires. which large Greek and foreign construction com- According to estimates, a possible agreement

between the construction joint ventures and the e

panies are involved, is expected to send a c e

resounding message regarding Greece to other 42 Greek and foreign banks that had been financ- e r ing these four projects, will lead to the restoration

potential international investors. G h t The Ministry of Development, Competitiveness, of almost 30,000 direct jobs that were lost due to
i Infrastructure, Transport and Networks is the freezing of the projects during the past few w e d a r T 93 92-96 Master CONSTRACTION_EYTHIMIADHS:130-136_Haralambidou21-29.qxd 10/4/2013 10:49 ðì Page 96

years. That said, the keys to the construction sites are in the hands of the banks, which have stopped financing the projects, judging that, as a result of the crisis, the JVs are unable to meet specific toll revenue targets. Greek banks, whose share in the projects’ co-financing stands at almost 45%, have reportedly stated their wish to resume financing and assist the completion of the projects. Things are obviously more difficult in the case of foreign banks, since almost 20% of them, e.g. Irish and Portuguese banks, have their own seri- ous problems to deal with. The root of the problem These four large motorway projects (Aegean Motorway, Nea Odos, E65 and Olympia Odos), whose original construction budget totalled €5.5 billion, are self-financed through toll revenues. The public expenditure element stands at 25%, through the utilization of NSRF funds, but the projects are mainly financed by bank loans and the equity of the private concessionaires respon- sible for their construction and operation. According to the agreements, bank lending to the concession holders is totally conditional on their viability, which, in turn, is inextricably linked with the traffic load and the income generated by the motorways. However, these concession agreements had become operative in 2008, in a different Greece. Today, toll revenues are estimated to be down by 45% as compared to 2008, when the concession agreements went live. Unfortunately, as a result of the dramatic change in the economic situation and the mounting difficulties regarding the projects’ operation, bank financing was suspended in late 2010, while the conces- sionaires ceased construction work in mid-2011. In fact, the first steps in regard to these projects had been made in 2003, in the run up to the 2004 Olympic Games in Athens. That said, some of the projects actually began in 2008, as they were beset with serious problems, mainly the state’s failure to provide contractors with expropriations and archaeological works. Works began despite of the problems, but the European economic crisis put the brakes on four of these projects. The contents of the deal

e The agreement reached between the Greek state c

e and the construction companies paves the way e r for the resumption of the projects. Among others G h

t it provides for: i

w ● The reduction of concessionaire claims against e d a r T 94 92-96 Master CONSTRACTION_EYTHIMIADHS:130-136_Haralambidou21-29.qxd 10/4/2013 10:49 ðì Page 97

the Greek state. All the concession holders’ undermine the financial sustainability of the claims have been reviewed by Independent projects. Engineers that comprise an independent audit mechanism. The total amount of concession- The financing gap aire claims that has been recognized by the In any case, it is estimated that the financing gap Greek state in regard to the construction of the that, apparently, may emerge owing to the crisis, projects, stands at almost €280 million, and is can be bridged through the absorption of as many less than, or equal to, the amount recom- NSRF funds as possible. mended in each case by the Independent Another major development was the approval of a Engineer. In order to receive payment for each €650 million loan by the European Investment case, the concessionaires will have to present Bank to the Greek state. This loan is strictly for the relevant supporting documents, which will the completion of these road projects. However, be reviewed by the competent ministry bodies, its disbursement is conditional on the ratification as well as independent auditors. of the deal with the concessionaires by the Greek ● The adaptation of the technical component of Parliament. the projects to the available financial means, Which are these four projects? through the rescheduling, and the postpone- 1) The Maliakos-Kleidi section of the Athens- ment in the delivery of, certain sections. Thessaloniki national road is the most In other words, some sections will be con- advanced in terms of construction. This sec- structed later. More specifically, the construc- tion of the PATHE axis, i.e. the Aegean tion of the Patras-Pyrgos-Tsakona section of Motorway, stretches from Raches in Fthiotida Olympia Odos and the Trikala-Panagia section to Kleidi in Imathia, covering a total of 230 kilo- of the E65 motorway, whose approval is pend- metres. ing with the Council of State, is being moved The project, which has been contracted to forward to a later date. Aegean Motorway SA, includes the reconstruc- Despite any changes in the technical compo- tion and upgrading of the existing highway, the nent, the deal will lead to the completion of construction of a new section, and its operation motorways with a total length of 956 km (instead and maintenance for a period of 30 years. of the original 1,204 km), which accounts for The construction of the new section includes: 2

80% of the original physical component and twin tunnels, 2 and 6 kilometres long, in the e c e

covers almost 95% of the traffic load. Vale of Tempe (the longest road tunnel in the e r ● No change in toll policy, in other words no Balkans); one twin tunnel at Platamonas, with G h t reduction in toll charges, since the Ministry of a length of 2.7 kilometres; 22 bridges; and five
i

Development believes that this would further flyovers. w e d a r T 95 92-96 Master CONSTRACTION_EYTHIMIADHS:130-136_Haralambidou21-29.qxd 10/4/2013 10:50 ðì Page 98

The entire project is 66% complete, while the 3) The Nea Odos concession, with a total length tunnels are more than 86% complete. The of 380 km, is divided into two main sections open sections of the motorway are almost 33% and includes the, 196 km long, “Ionia Odos” complete, as the necessary expropriations motorway, which stretches from the end of the have not been finalized, leading to inevitable “Harilaos Trikoupis” bridge at Antirion to delays. Egnatia Odos, near Ioannina (interchange with 2) The Elefsis-Corinth-Patra-Tsakona axis of the Egnatia Highway). The Ionia Odos section Olympia Odos is scaled back, and a large part includes, among others, 24 bridges of single will be constructed later. carriageway of an approximate length of 7.0 Construction work –prior to the shutdown– on km, as well as 4 tunnels of single carriageway the new sections of the Corinth-Patras high- of an approximate length of 11 km. way focused on large structures, such as tun- It also includes a section of the PATHE motor- nels and bridges. way, with a length of approximately 172.5 km, The 5 new tunnels at Derveni, Mavra Litharia, which stretches from the Metamorphosi inter- Akrata, Platanos and Panagopoula, will reduce change (Attiki Odos area) to Skarfeia –after the travelling distances, noise and air pollution, town of Kammena Vourla– and the Schimatari- also providing travellers with increased safety Chalkis connecting branch of PATHE, with a and comfort. Tunnelling work is complete in total length of 11 km. regard to the Panagopoula and Derveni tun- Almost all scheduled construction and upgrad- nels (two Corinth-bound tunnels), while a small ing work on the PATHE motorway has been section of the Mavra Litharia tunnels remains completed. unfinished. Overall, tunnelling work is 62% 4) The E65 road axis is the one beset with the complete. worst delays. It includes the section that The recommencement of the project will lead extends from the semi-junction with PATHE at to the construction of 120 kilometres of the Lamia to the interchange with Egnatia Odos Corinth-Patras section, with two lanes and an (total length of 174 km), as well as the opera- emergency lane per direction, and a Jersey tion of the PATHE section from Skarfeia to barrier in the middle. Raches. Construction of the Patras-Pyrgos and According to the deal reached between the gov- Alpheios-Tsakona sections, with a total length ernment and the concessionaire, the construc-

e of 164 kilometres, two lanes and an emer- tion of the Lamia-Xyniada junction section (32 c

e gency lane per direction plus a Jersey barrier km) will be postponed to a future date, along with e r in the case of the former, and two lanes and a the next 64 km section (Trikala-Egnatia), for G h

t Jersey barrier in the case of the latter section, which a decision by the Council of State is still i

w has been postponed to a later date. pending. e d a r T 96 98-99 Master interview_TSAFTARIS:06-07 Karamanlis 21-29.qxd 10/4/2013 10:53 ðì Page 1 98-99 Master interview_TSAFTARIS:06-07 Karamanlis 21-29.qxd 10/4/2013 10:53 ðì Page 2

Greece’s soil bears fruit of unique quality – it also bears opportunities

The primary sector and the top-quality traditional products of Greece’s soil and live- stock breeding can assist the country’s growth and be instrumental to its exit from the crisis. We can utilize the comparative advantages offered by our land and, by combining them with the Greek people’s enthusiasm and the technology’s advances, become champions in exports.

By Athanasios S. Tsaftaris, Minister of Rural Development and Food

t the Ministry of Rural Development and kets, six are Greek. In other words, a country like Food we have been pushing forward with Greece, with a population that accounts for 2%- A important and targeted actions to support 3% of the EU’s total population, has 6 out of 20 and advertise Greece’s high quality traditional top European products, and this is neither a products in the international market. I have many coincidence nor an accident. Greek wines and times stressed that quality is instrumental in pro- fruit are among those products. Therefore, we moting our products. So, it is time to shift our have been utilizing these special support pro- attention from low-cost farming, which had been grammes to assist the producers of Protected the priority in the past, to a higher quality, and Designation of Origin (PDO) and Protected more export-oriented, agriculture. This reorienta- Geographical Indication (PGI) products, as well tion is already underway, showing the first posi- as producers that implement integrated man- tive results. agement or organic farming systems. As part of promoting its products, the European The signs are encouraging, as the share of agri- Union (EU) implemented a major programme, cultural products in the Greek exports is increas- both internally, and in non-EU markets. We ing day by day. In Germany, for example, which I applied to this programme and, from a total of 20 recently visited on the occasion of the products that were finally selected from all coun- International Green Week in Berlin, Greek wine
tries in order to be promoted to international mar- imports have increased by 26%, while the corre- Trade with Greece Trade 98 98-99 Master interview_TSAFTARIS:06-07 Karamanlis 21-29.qxd 10/4/2013 10:53 ðì Page 3

sponding increase in regard to Greek olive oil was dures. To this end we have been implementing the 24%. We have been implementing targeted “Single Window” project, i.e. the existence of a one- actions per product in each country. It is not our stop-shop for exports, a point of entry for those who wish to do many diverse things without actual would like to invest in Greece. We have been work- results. We want targeted actions with quantifi- ing on this project together with the Ministry of able results. In Russia, for example, we wanted to Development, participating with two products. We increase our exports of canned peaches and, will try to simplify export procedures for Greek kiwis, indeed, we managed to become the leaders in as well as for a processed product, in this case the local market, surpassing China. Greek Greek feta cheese. exports of peach preserve stand at 270,000 tons, Hence, I believe in pursuing a quality-oriented while China, the second largest exporter, is dis- policy that features a shift towards certified, safe tributing 130,000-140,000 tons. At this point I and competitive products, and this is why we would like to highlight the importance of manu- have been strengthening the sector’s agencies facturing, which can totally alter the dynamics of with the aim of improving the quality of olive prod- Greece’s products. As far as the Chinese market ucts, securing the geographical indication of is concerned, our interest is focused on olive oil Greek olive oils and olives in the EU, providing exports, which increased by 100%. A similar effort technical assistance in all stages of production, is made, through equivalent programmes, in the and facilitating tracking and certification. It is a US and Canadian markets, in regard to feta fact that our high quality products are obtaining cheese and Greek yogurt. Very few people know their passport to the international market. This is that Greek breams are our No 1 agricultural why the ministry has been financing investments export. Foreign markets have also opening their for the production and processing of innovative doors to other quality products from Greece. agricultural products. Several good deals have been concluded with Greece’s soil bears fruit of unique quality – it also countries such as the UK, Romania, Germany and bears opportunities. There are people among us Russia, regarding the promotion of Greek organic who combine quality, knowledge and innovation, pomegranates from Drama and other areas. adding new value to our traditional products. The Apart from the improvement of our agricultural international market is ready to welcome such products’ quality, a large part of our effort is focused efforts, and the Ministry of Rural Development on the “disentanglement” of farmers, manufacturers and Food is doing whatever possible to support and exporters from today’s cumbersome proce- such initiatives. Trade with Greece Trade 99 100-102 Master interview_XARAKOPOULOS 3 selido:06-07 Karamanlis 21-29.qxd 10/4/2013 10:56 ðì Page 2

Reforming Agriculture: Quality, Productivity and Exports

Development is no longer a midsummer night’s dream, but a hard-earned prospect for Greece, thanks to the Greek people’s sacrifices and the Greek government’s per- severance. Economic growth can derive from investment in sectors where Greece has traditionally been competitive. Reforming those sectors, amongst which agriculture stands out, is a key element to success and prosperity. Agricultural reform is a prerequisite for the vision both the government and the farmers share: Quality, Productivity and Exports.

By Maximos Charakopoulos, Deputy Minister of Rural Development and Food

griculture and a wide network of relevant has been the rule. Today, the crisis has turned economic activities can set the economy into an opportunity, a way back to the village and A back on track. Despite some problems in a farmer’s life. the agricultural sector, there are also opportuni- Aiming at the improvement of agricultural produc- ties for those willing to take a few risks. A growing tion, the Ministry of Rural Development and Food, number of Greeks, especially young people, seek in cooperation with the co-responsible ministries, a way out of the current economic crisis through is pushing forward with reforms on the legal, hard, but promising, work in the fields and pas- administrative and managerial levels. The alloca-
tures. So far, the desolation of the countryside tion of land at affordable prices for those willing to Trade with Greece Trade 100 100-102 Master interview_XARAKOPOULOS 3 selido:06-07 Karamanlis 21-29.qxd 10/4/2013 10:56 ðì Page 3

try their luck in the fields, the pro- industries, thus increasing the motion of solar energy for agri- negotiating power of the for- cultural uses and the reor- mer. In order to reduce the ganisation of producer dire consequences of fod- groups on a more mar- “ Moreover, we support der price hikes on live- ket-efficient basis, are stock breeders, we are just a few examples of contractual relation- urging them to enter our new approach to ships, particularly among producers mutually beneficial rural development. partnerships with To that end, we have and processing industries, thus farmers, so as to doubled our efforts: increasing the negotiating power of respond better to mar- within the span of just a the former. ket instability. We are few months we evaluat- reshaping the legal ed and pre-approved framework within which 7,735 business plans, con- ” producers’ organisations act, tributing to the upgrade of with the aim of enhancing the existing rural infrastructure. In spite small-scale producers’ capacity to of the struggling economy, we secured join forces and to lower production costs, the necessary funds for farmers to continue pro- so as to sell their products at affordable prices to ducing. In accordance with EU law, and within the consumers, both in the domestic market and world- scope of the Common Agricultural Policy, we wide. Before us lies a great challenge: export-ori- have supported Greek farmers in order to ensure, ented production. Quality is, once again, the cor- not just their economic survival, but the common rect answer. Therein lies the future of Greek agri- European goal of food sufficiency and security. culture: a combination of tradition and cutting- Moreover, we support contractual relationships, edge practices that can make the most out of the particularly among producers and processing country’s rich soil and temperate climate. Organic Trade with Greece Trade 101 100-102 Master interview_XARAKOPOULOS 3 selido:06-07 Karamanlis 21-29.qxd 10/4/2013 10:56 ðì Page 4

farming and an environ- products of Certified Origin, mentally responsible food “ products of Geographical industry are key ele- It is our duty to reform Indication, organic ments to sustainable foods that are grown development. the agricultural sector and and processed under To achieve this, within encourage farmers to invest in the strictest EU rules. our jurisdiction, we are Supreme quality olive drafting a new action quality products, so as to ensure its oil, wine, feta cheese, plan for the appropriate survival in these harsh times. crocus, and Chios use of pesticides, also mastiha are just a few being alert to any mis- delicacies that give a conduct that might jeop- small, but intense taste of ardize the quality or safety of ” Greece. Through the our agricultural products. Food Promotion Programmes, co- security is, and will always be, of founded by the EU, our quality paramount importance to us. products can reach consumers all over Consumers demand safe and high-quality foods, the world. and we should be able to meet those demands. It is our duty to reform the agricultural sector and Green practices in farming and animal husbandry encourage farmers to invest in quality products, are not a luxury, but a sine qua non for success- so as to ensure its survival in these harsh times. ful, export-oriented agricultural production. Our The ongoing reforms aim at revitalizing the rural intention is crystal clear: “Greece will remain lands by awaking the dormant economic forces Europe’s garden”. In this “garden” there is no that can, and will, transform, not just the image of place for genetically engineered seeds, illegal or our countryside, but also the economic reality of misused pesticides. our country. In this task, there is no room for tar- Our goal is to produce pure, authentic foods: diness. Trade with Greece Trade 102 104-105 Master interview_KEFALOGIANNI:06-07 Karamanlis 21-29.qxd 10/4/2013 11:00 ðì Page 1 104-105 Master interview_KEFALOGIANNI:06-07 Karamanlis 21-29.qxd 10/4/2013 11:00 ðì Page 2

The growth of tourism is Greece’s only option for boosting the economy and ensuring social cohesion

Especially during this crucial period, when the Greek economy is making a major turn, leaving behind the inefficiencies and distor- tions of the past that led to a deep crisis with painful consequences for the citizens, who were called to shoulder a huge burden in order to save the country.

By Olga Kefalogianni, Minister of Tourism

or Greece, tourism is a national issue. It is enrich the tourist product, also helping to extend a sector with huge dynamism and inex- the tourist season. The aim is to maximize tourist Fhaustible reserves that we are now called revenues and turn Greece into one of the world’s to promote and utilize; tourism superpowers. ● a sector whose contribution to Greece’s GDP and employment is decisive; The national plan for the development of Greek ● a sector that is absolutely necessary for the tourism is based on four key principles: social cohesion and welfare of many areas of ● enhancing entrepreneurship by facilitating the country, whose only livelihood is tourism. investment; ● developing a state-of-the-art institutional This is the sector that we are planning to upgrade. framework for tourism and its special forms; Utilizing the elements that established Greece as ● safeguarding the quality of tourism infrastruc- a global tourist destination, we are currently intro- tures and services; and ducing a series of measures that will help maxi- ● investing in Greece’s human resources. mize the dynamism of Greek tourism; that will
improve the quality of the service offer and will We are also working on a tourism-specific com- Trade with Greece Trade 104 104-105 Master interview_KEFALOGIANNI:06-07 Karamanlis 21-29.qxd 10/4/2013 11:00 ðì Page 3

munication strategy that promotes our compara- peace, determination for growth and progress on tive advantages and will strengthen Greece as a all levels, spearheaded by tourism. brand name, attracting larger numbers of visitors As part of the effort to maximize the dynamism of to the country, as well as investments that will Greek tourism, we have been looking for the best give a larger boost to the economy. possible ways of establishing public-private part- The transition of Greek tourism to a new era nerships. requires deep reforms and changes, which we We are in constant, close and effective consulta- are already introducing. tion and communication with the Hellenic This is a national effort, which requires the rally- Chamber of Hotels, the Association of Greek ing of all political forces, as well as all tourism Tourist Enterprises and other tourist organiza- stakeholders – organizations, employers and tions, in order to find the best way for enhancing workers. Greek tourism by utilizing the flexibility and We all must safeguard and fortify Greek tourism, expertise of the private sector, as well as for serv- in order to help the sector deal in the best possi- ing the public interest amidst the current transition ble manner with the challenges of a fiercely com- from a weak economy to a new model of sound petitive global environment. economic growth, on solid foundations. We must do this without any delay, if we wish to I am convinced that the cooperation among all speak about, not only tourism, but, overall, about stakeholders can produce the best results for our extroversion, our pride, our dynamic presence Greek tourism and, in general, the national econo- in Europe and the world, our equal participation to my; that it can bring back the smile of optimism global developments. and the certainty of a better future. We must, and we do, try to make Greece once again a byword for optimism, creativity, social And I am sure that we will succeed. Trade with Greece Trade 105 106-107 Master interview_ANDREADIS:06-07 Karamanlis 21-29.qxd 10/4/2013 11:02 ðì Page 2

Our vision for 2020 sees Tourism playing a central role in the effort to promote Greece’s economic and social development

Whenever anyone refers to Greece, one of the first things that come to mind is tourism. For the international public, Greece is, and has always been, famous for its rich tourism resources. For us Greeks, our country’s self-evident and perpetual endowment has now taken on another dimension.

By Dr. Andreas A. Andreadis, SETE President

reek society now recognizes tourism, country. The year 2011 was a record one, in terms not just as a recreational activity, but of both international arrivals (16.5 million tourists) G mainly as an economic activity with and international receipts (€10.5 billion), con- clear social and environmental dimensions. This tributing 16.5% to Greece’s GDP. We all knew realization has been particularly pronounced over that 2012 would be very difficult, but despite the the past two years, following the contraction of harsh beginning, the bookings that were lost dur- the overall economic activity and the rise of ing the 2 election periods, the extremely negative unemployment. Tourism is one of the few axes of publicity that our country got from the majority of the economy that managed to sustain their posi- the international media and the endless discus-
tion through the continuous financial crisis in our sion about “Grexit”, Greek tourism remained Trade with Greece Trade 106 106-107 Master interview_ANDREADIS:06-07 Karamanlis 21-29.qxd 10/4/2013 11:02 ðì Page 3

“ Greek tourism has a great potential to contribute another 2-3 units to the country’s GDP in the next 2 to 3 years, reaching 20 million visitors. ” resilient. We managed to reach our initial 2012 a country where people from all over the world goal for international arrivals (16 million tourists). would like to live, either on a temporary or a per- The targets for 2013 are already being set even manent basis. A country that is pleasant to its higher: at 17 million international arrivals and €11 permanent residents, therefore pleasant and billion in international receipts. These targets will appealing to its visitors, the temporary residents. increase tourism’s contribution to GDP to more than 16% and will create 50,000 new jobs. The recent development of SETE’s being recog- nized as an equal Social Partner by the Greek Greek tourism has a great potential to contribute government, strengthens our position and gives another 2-3 units to the country’s GDP in the next us greater responsibility towards our employees 2 to 3 years, reaching 20 million visitors. But this and the state. Now is the time to revamp our col- is not our complete vision. Our vision for 2020 laborative power, work together and conquer our sees tourism playing a central role in the effort to mutual targets. We believe that today the state is promote Greece’s economic and social develop- ready –more than ever before– to grasp the ment. We envision a country that, above all, tourism potential of the country and realize the full ensures a high standard of living for its residents, prospect for development and growth. Trade with Greece Trade 107 108-114 Master TOURISM_SPILIOTI:178-184 Kontokolias 21-29.qxd 10/4/2013 11:06 ðì Page 2

his statement does not come from a clear is that these “prerequisites” translate into Greek minister, or any other senior gov- the creation of a friendly investment climate (sta- Ternment official who tries to attract for- ble tax regime, reduction of red tape etc.) and the eign capital, but from the secretary general of the adoption of clear rules (e.g. zoning rules). That UN World Tourism Organisation (UNWTO), Taleb said, the government has also been adamant that Rifai. Obviously, the above statement creates a under no circumstances will the effort to attract positive sentiment towards Greece as an invest- investment be tantamount to an offering of “earth ment location; however, there are some prerequi- and water” to potential investors. sites, first and foremost being the need to speed Sustainability and safeguarding the public interest up structural change. should be the main concerns.
What the Greek government has been making Thus, the Ministry of Tourism has been promoting Trade with Greece Trade 108 108-114 Master TOURISM_SPILIOTI:178-184 Kontokolias 21-29.qxd 10/4/2013 11:07 ðì Page 3

Investment opportunities in Greek tourism

By Artemis Spilioti

“Investing in tourism in Greece is like opening a hole in the ground and oil gushes out ... As regards tourism, I would say that Greece is a real gold mine.”

a set of legislative proposals designed to More specifically: enhance the extroversion and competitiveness of Greek tourism. ● The draft law introduces improvements to the The draft law “on the reduction of administrative institutional framework and sets the terms and burden, the simplification of procedures and the conditions for the operation of Organized enhancement of tourist businesses”, which would Tourist Activity Receptors. The term “Organized be tabled to Parliament in early 2013, strength- Tourist Activity Receptor” denotes an area that ens, among others, the ministry’s planning role is being developed, in accordance with the rel- and simplifies a series of procedures in order to evant provisions, in order to serve mainly as a facilitate investment in tourism, also promoting hub for the development of tourism/leisure and
organized and composite tourist projects. other tourism-related activities. Trade with Greece Trade 109 108-114 Master TOURISM_SPILIOTI:178-184 Kontokolias 21-29.qxd 10/4/2013 11:08 ðì Page 4

● The range of special tourism infrastructures is mass, in order to ensure the sustainability of expanded, through the inclusion of facilities the development programme, especially in concerning special forms of tourism (e.g. ther- regions that are underdeveloped touristically. malism, invigoration, wellness, beauty, diving The adequacy of these investments is tourism centres, facilities that promote environ- assessed during the review of the relevant pro- mental, historical, religious or cultural ele- posal for the creation of an ITDA. ments etc.), provided that these are opera- ● The draft law also sets the zoning conditions tionally integrated to the corresponding tourist for the construction of tourist facilities within accommodations. The draft law also intro- organized tourist activity receptors, and com- duces the concept of time-sharing, and pro- posite tourist accommodations. vides for the creation of golf accommodations. ● It also specifies the documentation required for ● A new tourist product is introduced, along with the obtaining operating licenses for composite the concept of condominium hotels, which can tourist accommodations, which are combined be operating on long-term leases. This con- with special tourism infrastructures. cerns 4 or 5-star hotel accommodations, in the ● The draft law specifies restoration zones, as form of independent apartments or villas, also well as the general uses of land and the gen- allowing the establishment of vertical and con- eral zoning conditions and restrictions for the dominium ownership, and their long-term redevelopment of the Faliron Bay, Attica, lease to third parties. through the creation of an international confer- ● There is also the option to lease tourist villas ence centre. for periods of up to three months per year. This ● It also regulates issues related to special prop- option is available to villas of at least 100 erty taxes and duties set out by Law square meters. 3342/2005. A special tax of 0.50%, in favour of ● The draft law regulates issues related to the the relevant 1st degree Local Government designation, delineation, zoning and develop- Organizations, is imposed on the revenues of ment of Integrated Tourism Development health-regulated establishments that operate Areas (ITDA). ITDAs, which from now on must within the Olympic complexes and are exempt operate on areas of more than 80 hectares, from any other tax. owned by at least 85%, constitute organized ● Also, the draft law permits the construction of tourist activity receptors that have to include temporary and prefabricated installations for
tourist investments of a predetermined critical non-recurring events of a maximum duration of Trade with Greece Trade 110 108-114 Master TOURISM_SPILIOTI:178-184 Kontokolias 21-29.qxd 10/4/2013 11:08 ðì Page 5

“ This way Greece is fulfilling its obligations to provide the European Union, national agencies and interna- tional organizations, as well as all interested parties directly or indirectly related to tourism, with reliable and timely infor- mation. ”

4 months within the Olympic complexes. development projects in the tourism sector. The ● The bill provides for the simplification of the ultimate target is to advertise all aspects of licensing and zoning regime, and the opera- Greece’s tourist product. tional adjustments of tourist ports that have not In this context, the Ministry of Tourism and the been granted operating licenses. Hellenic Statistical Authority (ELSTAT) signed, in ● There is also the option to amend the permit- 2013, a memorandum of understanding regarding ted uses of land in areas covered by the the exchange of tourism statistics, for the purpos- decree concerning the coast of Attica. es of the Tourism Satellite Account and the ● The draft law resolves issues related to the Tourism Observatory. The aim is to create a mod- delineation of the country’s skiing centres, set- ern statistical information system in the tourist ting a deadline of 2 years for the granting of sector, designed to support the making, follow-up operating licenses. and evaluation of tourist policy in Greece. ● Finally, the bill permits the operation of retail This way Greece is fulfilling its obligations to pro- stores located in tourist port zones on Sundays vide the European Union, national agencies and and holidays, for tourist purposes. international organizations, as well as all interested parties directly or indirectly related to tourism, with Moreover, the structures of both the ministry and reliable and timely information. the Greek National Tourism Organisation will Finally, tourism attaché positions are established undergo radical changes. Thus, the Special in the Greek embassies in countries where the Department for the Promotion and Licensing of GNTO does not maintain offices. Tourist Investments, the Research and Investment Directorate, as well as part of the mar- Investment opportunities - gems ket supervision directorate, will be transferred from the GNTO to the Ministry. The call for expression of interest by the National Moreover, the lack of statistical information about Bank of Greece for the sale of the Astir Palace Greek tourism is addressed through the estab- Vouliagmeni hotel, which lies on the Mikro lishment of a Tourism Observatory, designed to Kavouri peninsula, a few kilometres from the cen- utilize data from the “Tourism Satellite Account”, tre of Athens, has stirred worldwide interest. prepare studies of the tourist market and present Many people, in Greece and abroad, consider the relevant findings. The aim is to support docu- this area to be “the best in the Mediterranean and
mented interventions and promote targeted one of the most beautiful in the world”. Trade with Greece Trade 111 108-114 Master TOURISM_SPILIOTI:178-184 Kontokolias 21-29.qxd 10/4/2013 11:08 ðì Page 6

More specifically, out of a total of 30.9 hectares of extreme beauty, 19.2 are owned by Astir Palace SA (a National Bank subsidiary) and 11.6 hectares are controlled by the Hellenic Republic Asset Development Fund (HRADF). The Astir complex includes the “Arion Resort & Spa, The Luxury Collection” and “The Westin Athens” hotels, with capacities of 123 and 162 rooms respectively, which also include fully equipped conference halls, a 58 bungalow com- plex, luxury restaurants, an administration building and sporting venues, car parking areas, a heliport, the Astir Beach, and the security and recep- tion/main entrance building. The “Aphrodite” hotel, a conference centre with underground parking, the “9 Muses” club-restaurant and an open-air facility capable of hosting 600-guest events are currently being renovated, while the Vouliagmeni marina is now considered as a sin- gle entity.The expressions of interest must be submitted by March 19. In the forthcoming months, the National Bank plans to initiate the sale of its, also owned, Grand Hotel, in Rhodes. Another bank, Eurobank, is expected to sell various properties, including three hotels in Attica, Rhodes and Chania (Crete). It should be noted that 24 hotels are for sale in Attica, most of them in the centre of Athens; these hotels are expected to gain added value through the conversion of the Tae Kwon Do stadium in the
Faliron Delta into a Metropolitan Convention Centre. Trade with Greece Trade 112 108-114 Master TOURISM_SPILIOTI:178-184 Kontokolias 21-29.qxd 10/4/2013 11:10 ðì Page 7

For tourists- “ visitors, the birth- place of democra- cy, philosophy and humanism may simply be a sunny place with 15,000 kilometres of coastline (the longest among Mediterranean countries) and a rich history. ”

Nonetheless, some developers had identified data, as compared to almost 16 million visitors in investment opportunities early enough, and are 2012. As a matter of fact, airlines have already ready to make their moves. The Dolphin Capital “booked” one million seats for Greece. Investments group is investing €30 million in the The increase in arrivals is, to a great extent, the creation of a composite tourist accommodation on result of a substantial drop in prices –especially the island of Kea, while Locros SA is investing €2 hotel prices– during the past two years, since billion in the creation of an ITDA in Atalanti. The Greece has become a champion at lowering competent department of the GNTO has received prices. many more applications for various types of investment throughout Greece. According to Trivago, the hotel search and infor- It should, also, be noted that infrastructure proj- mation website, the average price of an ects, such as the Achillion Megaron in Corfu, the overnight stay in an Athenian hotel stood at €83 eco-development park at Lake Kaiafas, the Diros last October, ranking Greece’s capital as the 6th cave, the Venizelos mansion in Chania, Crete, cheapest destination in Europe, from 28th in the yacht ports in Simi, Volissos (Chios), 2008. That year the average price was €127 (a Marathokambos (Samos) and Limenaria 34.6% reduction), while in 2011 it had dropped (Thasos), the Epikourio Cultural Centre of to €101. Samos, as well as the modernization of the lifts at According to the Trivago ranking of 50 European the Winter Ski Centre of Parnassus, have been cities, the lowest prices per night can be found in included in the NSRF. As far as Athens is con- Sofia (€67) and Riga (€68), while the highest cerned, the ministry, with the support of NSRF prices are those in Venice (€237), Geneva (€250) funds, is promoting the redevelopment of the and London (€206). Faliron Bay by tendering the relevant projects, In terms of country rankings, Greece showed the and the creation of a conference centre, which largest decrease in hotel prices (10.5%), which will house additional venues, such as the National on average fell to €85, bringing Greece to the Opera, the National Library and the Eco Park. fourth place among Europe’s cheapest destina- tions, behind Bulgaria (€63), Romania (€68) and More tourists in 2013 Poland (€72). The most expensive countries, based on on-line prices, are Switzerland Greece is expected to welcome seventeen million (€198/night), Norway (€170), France (€166) and visitors this year, based on advance-booking Sweden (€162). Trade with Greece Trade 113 108-114 Master TOURISM_SPILIOTI:178-184 Kontokolias 21-29.qxd 10/4/2013 11:10 ðì Page 8

Tourism: Greece’s heavy industry itor numbers to 17 million from 16 million in 2012, while the target of increasing revenues by €1 bil- In Greece’s case, tourism is the most important lion is considered feasible (in 2012 revenues and safest “vehicle” for riding out the crisis. reached €10 billion). For tourists-visitors, the birthplace of democracy, That said, Greek tourism’s major bet is to reach philosophy and humanism may simply be a sunny 20 million arrivals, which translates in an addi- place with 15,000 kilometres of coastline (the tional 3% increase of total GDP. Until the year longest among Mediterranean countries) and a 2020 Greece’s aim is to increase direct and indi- rich history. rect tourist gross added value to €50 billion, For the Greeks, though, who are suffering the adding 220,000 jobs. consequences of the recession for a fourth year And whereas real unemployment is expected to in a row, tourism may be the only sector that can climb to 35%, the growth of Greece’s “heavy signal a return to positive growth rates, propelling industry” in 2013 may become a powerful the entire economy towards revival. It is estimated weapon, since –based on 2011 data– the number that tourist consumption affects 60% of the Greek of workers directly employed in tourism stood at economy’s sectors. 311,000 (8% of total employment, based on pri- According to a recent study by the Foundation for mary employment). This figure is augmented if we Economic and Industrial Research (whose direc- take into account the large number of persons tor general was, until recently, the current Minister who work part-time in the provision of tourist serv- of Finance, Yannis Stournaras), the contribution ices, during peak seasons. In 2010, the number of tourism to the Greek economy, based on 2010 of workers directly and indirectly employed in data, amounts to €34.4 billion, accounting for tourism was estimated at 446,000, while the sec- 15.1% of Greece’s GDP. The importance of tor’s total effect on employment was estimated at tourism for the country is highlighted by the fact 741,000 (one-sixth of total employment). that the direct impact from the development of Thus, every 100 direct jobs in tourism support Greece’s tourist product is set at €15.2 billion. another 130 jobs in sectors that supply tourist enter- Nonetheless, it has to be stressed that, given that prises, as well as in sectors where the income gen- the country’s GDP shrank in 2011, while tourist erated (from direct and indirect employment) finds arrivals and revenues increased, the final contri- its way as consumer spending. It should be noted bution may be higher. that in 2008, when tourist revenues increased by It is worth noting that each €1,000 of tourist 3%, employment in tourism showed a similar expenditure increases the Greek economy’s increase (2%). In contrast, the reduction of rev- gross product by almost €2,200. enues by 11% in 2009 caused a corresponding The estimates for 2013 point to an increase of vis- drop of employment in tourism-related sectors. Trade with Greece Trade 114 1-2 atrTUIMHIPUO:7-8 otkla 12.x 0421 11 ìPg 1 Page ðì 11:15 10/4/2013 21-29.qxd Kontokolias TOURISM_HLIOPOULOS:178-184 Master 115-120 T By IliasIliopoulos g T G t M €1 g l e m a improve theirhealth(diagnosis and/ortreatment). alternative tourism, the visitors’ motive is to II. special formoftourism. This featuregivesitsnametothecorresponding to the place where they spend their vacation. journey from theirplaceofpermanentresidence their motive, whichisalsotheessentialfeatureof specific type of tourists that share a common formof tourism isaddressedtoa Each special from masstourism). trend in the tourism market (visitors shy away tourism demandandtheemergenceofanew responding tothechangesininternational prises havegraspedthesignsoftimes, the bestproofthatcountry’s touristenter- tourism inGreeceduringthepastfewyearsis The dynamic development of special forms of quality andtheextensionoftouristseason. ment of the service offer, the improvement of its tourism potential,throughthecontinualenrich- of efforts toensurethefullutilization ofGreece’s i o h s d e o In medical tourism, which is a specific form of o o t n e 1 n v o i r m a y b a r e e d nomic crisis,requirestheintensification gets, amidst a period of widespread eco- he achievement of these ambitious tar- e n r t a u o r i e a e l c r t l h i a t i e e o d v e a r r s - n a r 2 e n n p b . l e e s 2 o i i 0 o ( v f o c s c 1 0 i a e n k 3 % n n i t i n m e o a t u y g e s r e o e G w s e s m l a o a r x i r r o p f - e e r a o e r a e c e c n p o n e t l t r - p r k e e y h d t r d a e a o ) t t d a n x Medical tourismisthecombination ofhealthand sports etc.servicestohealthy visitors. provision ofspa,slimmingcentre, healthydiet, wellness or health tourism, which comprises the This form of tourism should not be confused with r y h o 1 i o m , u a w u b 7 t a r p m w i t e h s b e m a i i l l i l y y e l - l : 115 Trade with Greece 1-2 atrTUIMHIPUO:7-8 otkla 12.x 0421 11 ìPg 2 Page ðì 11:15 10/4/2013 21-29.qxd Kontokolias TOURISM_HLIOPOULOS:178-184 Master 115-120 116 Trade with Greece The growthofmedicaltourism hasbeenrather tourist). food etc. and €3,000 for medical expenses per (€1,000 for transportation, hotel accommodation, from thesetravelsamountstoUS$20billion seek medical care abroad, while the total turnover It is estimated that each year 5 million patients emergency medicaltourism,inwhich visitors ● selective medical tourism, in which visitors trav- ● can bedistinguishedin: tourism servicesatthesameplaceandtime, odic dialysisetc.). proper treatmentthere(cardiacepisodes,peri- are forced, owing to emergencies, to seek who spend their vacations in a foreign country tion, eyesurgery, cosmeticsurgeryetc.);and low cost (cancer treatment, organ transplanta- ical treatment, mainly due to its high quality and el toacertainlocationinorderreceivemed- The prospects regarding the growth of medical measures initstouristpolicy mix. the government to incorporate tourism-boosting has been dynamically growing worldwide, urged tourist offer withnewservices,whosedemand Serbia) andtheneedtoenrichourtraditional in Greece’s neighbours(Turkey, Croatia,and Nonetheless, thefastgrowthofmedicaltourism ical services. and organizing the provision of the desired med- and private)institutionsforattractingsuchvisitors grammes, norhadsetupthenecessary(public pro- development tourism its in tourism ical III. Nordic countries,Belgiumetc.). and Europe(Hungary, theCzechRepublic, South America (Brazil, Mexico, Cuba, Costa Rica) strong in Asia (India, Thailand, and Singapore), Up tonow, Greecehadneitherincludedmed-
115-120 Master TOURISM_HLIOPOULOS:178-184 Kontokolias 21-29.qxd 10/4/2013 11:15 ðì Page 3

ics, fitted out with state-of-the-art medical equipment, many of which are underutilized as a result of increased hospital bed vacancy rates. Other advantages include the high quality and low cost of medical care, as well as the favourable spatial allocation of medical capacity, since: ● Many –mainly public and usually newly-built– hospitals are located in areas of great interest for tourists (Crete, Rhodes, Nafplion, Patras, Kalamata, Volos etc.). ● Both Athens and Thessaloniki (the country’s capital and second-largest city, respectively), which are capable of offering specialized terti- ary hospital services in critical sectors (trans- plantations, heart surgery etc.), are also his- toric cities with museums featuring unique exhibits, and monuments from all historical periods (Antiquity, Byzantium, Middle Ages).

Apart from that, Greece lies on the crossroads of three continents, a fact that facilitates the access of huge numbers of medical tourists, has well- developed tourism infrastructures (road and rail- way network, many airline routes, ports etc.), while is considered totally safe and has estab- lished a good name abroad as a general tourism destination. The development of medical tourism in Greece requires the elimination of all relevant obstacles, through initiatives based on the cooperation among the competent ministries, as well as tar- geted interventions by public and private sector entities (tourist enterprises and medical service providers). The prospects More specifically, it is tourism in Greece through the considered neces- implementation of targeted regarding the “ sary to: policies are very good, as the growth of medical ● Create a country’s tourism “product” tourism in Greece favourable institu- enjoys significant compara- through the implementation of tional environ- tive advantages: ment, which ● An excellent climate, suit- targeted policies are very requires the enact- able for all-around-the-year good, as the country’s ment of a special tourism, fascinating land- tourism “product” enjoys law on medical scapes and many areas that tourism, covering the feature various tourist attrac- significant comparative relevant legal vacuums tions. advantages and eliminating all existing ● Top quality food. ” ambiguities (the relevant draft ● Many excellent hotels, with excess law will be soon tabled to Parliament). capacity. ● Streamline Greek legislation and align it with ● Many physicians, specialized in Greek and for- the medical tourism-related EU directive on eign universities and assisted by properly cross-border healthcare (the relevant draft law trained medical staff. will be soon tabled to Parliament).
● Top-notch public and private hospitals and clin- Trade with Greece Trade 117 115-120 Master TOURISM_HLIOPOULOS:178-184 Kontokolias 21-29.qxd 10/4/2013 11:16 ðì Page 4

● Specify the procedure regarding the certifica- tion, in accordance with strict international standards, of hospitals, clinics and hotels that wish to be included in the relevant pro- grammes, in order to ensure the safety of tourists that will seek medical services in Greece throughout their stay in the country, and to establish control mechanisms for all health service providers. ● Establish specialized and properly organized Medical Tourist Facilitators, which will mediate between foreign patients and Greek medical service providers, offering suitable packages (hotels, hospitals, tours, shopping etc.). ● Systematically advertise abroad the options regarding the provision of medical services to foreigners, and lay out a dynamic policy for promoting these services to selected client segments. ● Develop national and international partner- ships for the more systematic attraction of for- eign patients, on behalf of all Greek health service providers.

The sectors in which Greece could, immediately and without undertaking substantial new invest- ment (given that it boasts a large number of med- ical practitioners and centres, as compared to its population), offer competitive medical tourism services, are the following: ● Full diagnosis. ● Specialized medical interventions (orthopaedic surgery etc.) in private tertiary care hospitals (mainly in Athens and Thessaloniki), as well as in public and university hospitals in other major cities. ● In vitro fertilization and assisted reproduction, as part of partnerships between specialized medical centres and hotels all over the country and, more specifically, in Athens, Thessaloniki, Patras and Crete. Another advantage for the development of assisted reproduction services is that Greece’s legislation on these matters is more favourable than that of other European countries. ● Dialysis, in the context of partnerships between hotels and hostels with dialysis cen- tres. Apart from public hospitals, dialysis serv- ices are also offered by private centres in Athens, Thessaloniki, Crete and Rhodes. ● Rehabilitation and follow-up treatment. Some outstanding, albeit underutilized, such medical centres are mainly located in Thessaly and Macedonia, where hotels and hostels with excess capacity are also operating. ● Plastic surgery, ophthalmology and cosmetic
Trade with Greece Trade 118 115-120 Master TOURISM_HLIOPOULOS:178-184 Kontokolias 21-29.qxd 10/4/2013 11:16 ðì Page 5

dermatology, on the One-Day/Secondary Care disorders, elderly persons etc.) Greece has a Clinic level. wide range of spa towns, which are also very The private sector has over-invested in these widely dispersed in geographical terms, and sectors (in major Greek cities and tourist loca- can, in cooperation with rehabilitation centres tions) and boasts first-class hospital complex- and hospitality infrastructures, cover the treat- es, diagnostic centres and other auxiliary med- ment needs of a constantly growing market. ical units, which are currently underutilized, a fact that stresses the importance of new mar- Medical tourism can become a new source of kets for the viability of these investments. income for Greece. ● Services to special types of patients (people It is estimated that during the initial phase (3-4
suffering from musculoskeletal or neurological years) the country can attract at least 100,000 Trade with Greece Trade 119 1-2 atrTUIMHIPUO:7-8 otkla 12.x 0421 11 ìPg 6 Page ðì 11:16 10/4/2013 21-29.qxd Kontokolias TOURISM_HLIOPOULOS:178-184 Master 115-120 120 Trade with Greece “ five times the initial target, while the corresponding number ofpatientsthatchoose Greececouldbe In thesecondphase(within a decade),thetotal a “fastandeasybuck”). es, insteadofjustgraspingoppo advertising campaigns;provisionofqualityservic- tourist andmedicalunits;properlyorganized istrative barriers;creativecooperationbetween action, asrequired(eliminationofvariousadmin- special formoftourism,andtakeconcerted private sectormustrealizetheimportanceofthis For thistohappen,though,boththestateand million. patients, generatingrevenuesofalmostUS$400 substantially improvingGreece’stourismproduct requires increasedresponsibilityandaccountability,is It isobviousthatmedicaltourism,which,atanyrate, rtunities to make vistas forGreektouristenterprises benefit oftheGreekeconomy, andopensnew tourism product,securesmajor synergiestothe accountability, issubstantiallyimprovingGreece’s rate, requiresincreasedresponsibilityand It isobviousthatmedicaltourism,which,atany positive effect onthegrowthoftourismasawhole. sector, especiallyinruralareas,andwillhavea of theservicesrenderedbydomestichealth will boostmedicalresearch,improvethequality reduce unemploymentinthemedicalprofession, opment ofmedicaltourisminGreecewillalso Apart fromthesedirectbenefits,though,thedevel- annual revenuescouldevenreach€2billion. ” 122-128 Master CULTURE_Makri RIGHT:186-189_Lionarakis1_21-29.qxd 10/4/2013 11:24 ðì Page 115 122-128 Master CULTURE_Makri RIGHT:186-189_Lionarakis1_21-29.qxd 10/4/2013 11:25 ðì Page 116

CULTURAL AGENDA

Despite the economic crisis, the cultural agenda for the coming months is very rich. We selected for you some of the events at the Athens Concert Hall and the Onassis Cultural Center that are going to attract increased interest, and are meant for many different age groups.

By Nicoleta Makri
Trade with Greece Trade 122 122-128 Master CULTURE_Makri RIGHT:186-189_Lionarakis1_21-29.qxd 10/4/2013 11:25 ðì Page 117

Events at the Athens Concert Hall & Megaron Plus

April 12 MEGARON PLUS - EXHIBITION Ludwig van Beethoven: - Excerpts from the ballet “The Creatures of May – June Prometheus”, opus 43 - Piano Concerto no 1, opus 15 GREAT 2013 - Piano Concerto no 2, opus 19 Greek Architectural Talent - Piano Concerto no 5, opus 73 (“Emperor”) An exhibition of works by Greek students of archi- tecture SOLOIST Nikos Laaris, Stefanos Nasos, Tasos Pappas COOPERATION piano The Athens Concert Hall Organization & HER- ACLES GCCo, Lafarge April 13 Ludwig van Beethoven: A collaboration between the Athens Concert - Excerpts from the ballet “The Creatures of Hall and Heracles GCCo, a member of the Prometheus”, opus 43 Lafarge Group, designed to highlight Greek - Piano Concerto no 6, opus 61 architectural creation. This initiative focuses (the composer's arrangement of the Violin on Greek architectural talent and the innova- Concerto for piano) tion that stems from it, and tries to enhance - Piano Concerto No. 0, Wo O4 (re-composi- its international impact. tion-orchestration: Filippos Tsalahouris) - Piano Concerto no 4, opus 58 An exhibition of the best graduate and postgradu- ate projects from Greek schools of architecture, SOLOIST as well as by Greek students that attend foreign Titos Gouvelis, Thodoris Tzovanakis universities. The works that will feature in the Alexandra Papastefanou piano exhibition will be selected by means of an open competition (the submission of candidate projects April 14 has already been completed). Ludwig van Beethoven: The best projects –that will be selected by an - Excerpts from the ballet “The Creatures of international panel of judges– will be shown in Prometheus”, opus 43 model form in the New Exhibition Hall of the - Triple Concerto for violin, cello and piano, Athens Concert Hall. In addition, supplementary opus 56 material relating to the projects –drawings, photo- - Piano Concerto no 3, opus 37 graphs, written texts, etc.– will be available on - Fantasia (chorus, piano and orchestra), opus screens. 80 The schedule of the exhibition also includes lec- tures by the members of the judges’ panel. SOLOIST Sergiu Nastasa violi Angelos Liakakis cello George Petrou, Thanasis Apostolopoulos, Friday 12, Saturday 13 & Sunday 14 of April Haralambos Angelopoulos piano

The City of Athens Mixed Chorus Beethoven’s Nine Piano CHORUS MASTER Stavros Beris Concertos played on period instruments Armonia Atenea - The Friends of Music Orchestra on period instruments For the very first time in Greece, Beethoven’s nine magnificent works for piano and orchestra GRAND SPONSOR OF THE ORCHESTRA will all be played on period instruments (in a
2011-2013: ONASSIS FOUNDATION Trade with Greece Trade 123 122-128 Master CULTURE_Makri RIGHT:186-189_Lionarakis1_21-29.qxd 10/4/2013 11:25 ðì Page 118

series of three concerts). The Armonia Atenea- CO-PRODUCTION Friends of Music Orchestra, conducted by The Greek National Opera George Petrou, will be accompanied by leading The Athens Concert Hall Organization Greek soloists on an authentic English pianoforte, made by Stodart (in 1820). Thursday, April 18

The presentation includes Five Piano Concertos, the masterly Triple Concerto, the Fantasia for Rising Stars: Romina Lischka, piano, chorus, and orchestra, the famous Violin viola da gamba recital & Daniela Concerto and its arrangement for piano by the Koch, flute recital composer himself, as well as a concerto that Beethoven composed when he was only 14 years RISING STARS old. The manuscript of this superb work includes The Rising Stars series is supported by the only the solo part, with some orchestration notes. Culture Programme of the European Union The Concerto (No. 0, Wo O4) will be performed in a re-composition-orchestration made by compos- The European Concert Hall Organisation (ECHO) er Philippos Tsalahouris, especially for this pro- is developing a network of collaborations aimed duction. This new arrangement is presented in a at promoting musical exchange, as well as high- first performance. All three concerts are prefaced lighting and propagating musical creation. Each by excerpts from the ballet The Creatures of year the European Concert Hall Organisation Prometheus. selects six outstanding artists, who, as the orga- nization’s Rising Stars, perform a concert tour Sunday 14, Tuesday 16 & Thursday 18 of April across the halls of the ECHO network. The ECHO Rising Stars series has been assisting the musi- Giuseppe Verdi: I Vespri siciliani cal careers of many of today’s world class artists since 1995. The aim of the Rising Stars series is OPERA to bring young and exceptional young artists to new international audiences and offer them Following the great success of the performances opportunities to present musical programmes of of The Sicilian Vespers –a co-production by the their choosing in the major concert halls of Athens Concert Hall and the Greek National Europe. These artists are the best in their chosen Opera– the opera is presented three more times, field and are hand-selected by the Artistic on April 14, 16 and 18, 2013. The impressive pro- Directors of our member halls. duction, conducted by Myron Michailidis and directed by Renato Zanella, carried away the “The real grandeur of the viola da gamba” music lovers who filled the Alexandra Trianti Hall - Works by T. Hume, Demachy, Telemann, C. F. for last January's shows. This grand opera with Abel ballet is presented on the occasion of the 200th Romina Lischka viola da gamba anniversary of the birth of the great Italian com- Romina Lischka was nominated by the Palais des poser. Based on a historical event, as well as the Beaux Arts (Brussels) & Het Concertgebouw contemporary history of his country, Verdi came (Amsterdam) up with the revolutionary I vespri siciliani, invest- Daniela Koch, flute recital ing it with enthusiastic melodies, great choral - Works by W. A. Mozart, F. Schubert, G. parts, superb arias and ethereal ballet music.

- The Sicilian Vespers Grand opera in five acts with ballet LIBRETTO by Augustin Eugène Scribe & Charles Duveyrier ITALIAN TRANSLATION by Arnaldo Fusinato

New production With Greek supertitles
Trade with Greece Trade 124 122-128 Master CULTURE_Makri RIGHT:186-189_Lionarakis1_21-29.qxd 10/4/2013 11:25 ðì Page 119

Enesco, P. Taffanel Daniela Koch flute A work dedicated to the memory of the victims of Oliver Triendl piano the Kalavryta massacre

Friday, April 26 Friday, May 17 and Sunday, May 19

Kim Kashkashian, viola recital George Frideric Handel: Alessandro GREAT PERFORMERS - Dmitry Shostakovich: 24 Preludes, opus 34 OPERA (arrangement: Lera Auerbach) - Igor Stravinsky Suite from the “Pulcinella” ballet Handel’s Alessandro is presented in a new pro- (arr: Kim Kashkashian / Karin Addis) duction at the Athens Concert Hall, directed by - Lera Auerbach: New Work (for Kim the acclaimed American, Lucinda Childs. The pro- Kashkashian) duction will go on from Athens, to tour some of the major European concert halls (Royal Opera – Kim Kashkashian viola Versailles, Het Concertgebouw – Amsterdam, Lera Auerbach piano Theater an der Wien, Salle Pleyel – Paris, Vichy Opera etc), as well as the “Handel” Festival of Tuesday, April 30 Halle (at the historic Goethe-Theater) and the “Enescu” Festival in Belgrade. The tour will be realized thanks to the generous Mikis Theodorakis: Requiem support of the AUSTRIA CARD G.m.b.H., a member of the LYKOS Group. MIKIS THEODORAKIS’ SYMPHONIC WORK DIRECTOR-CHOREOGRAPHER Lucinda Childs CO-PRODUCTION SET & COSTUME DESIGNER Paris Mexis The Athens Concert Hall Organization LIGHTING DESIGNER Giorgos Tellos Athens State Orchestra ALESSANDRO Max Emanuel Cencic - Mikis Theodorakis: Requiem, for soloists, ROSSANE Blandine Staskiewicz mixed choir, children’s choir and orchestra LISAURA Adriana Kučerová

Trade with Greece Trade 125 122-128 Master CULTURE_Makri RIGHT:186-189_Lionarakis1_21-29.qxd 10/4/2013 11:25 ðì Page 120

TASSILE Xavier Sabata These events are just the backdrop for unfolding CLITO Pavel Kudinov a baroque fantasy tale, which has little to do with LEONATO Juan Sancho the actual historical characters. The recording of CLEONE Vassily Khoroshev Alessandro's rendition by the Armonia Atenea - The Friends of Music Orchestra, under the direc- Armonia Atenea - The Friends of Music tion of Giorgos Petrou was recently released by Orchestra on period instruments Decca, and has already won many important GRAND SPONSOR OF THE ORCHESTRA international awards (Diapason d’or, Choc 2011-2013: Classica & Choc Classica 2012). ONASSIS FOUNDATION It has been named “Record of the month” in the Christmas issue of the BBC Magazine, and was Alexandra Trianti Hall included in the selections of the International Handel composed Alessandro for three of the Record Review (IRR Outstanding). most famous singers of his time: the castrato Senesino, the soprano Francesca Cuzzoni and Friday, May 31 the renowned mezzo-soprano Faustina Bordoni. Not surprisingly, the co-existence of three stars of such calibre in the London of 1726 caused lots of Athens State Orchestra talk and gossip, which the ingenious Handel exploited in order to boost the popularity of the BEETHOVEN CYCLE (V) production. The opera, which was staged with huge success, With generous support from the Embassy of is a tour de force for the three stars, as the tech- Germany in Athens nical requirements of the three leading roles are almost improbable! The libretto is vaguely based Ludwig van Beethoven: on historical events regarding the adventures of - Symphony no 6 in F major, opus 68, “Pastoral”
Alexander the Great in India and his infamous - Symphony no 7 in A major, opus 92 outburst against Clito. Trade with Greece Trade 126 122-128 Master CULTURE_Makri RIGHT:186-189_Lionarakis1_21-29.qxd 10/4/2013 11:25 ðì Page 121

Onassis Cultural Centre

Theatre • April 3-22, 2013 • Upper Stage roles in an on-stage dream-fantasy played out to music by Ligeti. KANIGUNDA THEATRE COMPANY Music Camerata at the Centre CERCLES/FICTIONS by Joël Pommerat Saturday, April 20, 2013 Main Stage

European history as a CAMERATA ON PERIOD caleidoscopic chamber-circus INSTRUMENTS A text about the tamed beast called “the European”. Having won the coveted Molière Prize Metamorphoses VI: in 2010, the play shook French audiences when WORKS BY VIVALDI, HANDEL, CORELLI, Peter Brook invited Pommerat to stage it at KOUROUPOS, ATHINEOS, MOYSIDIS, GOGIOS Paris’s famous Bouffes du Norde theatre. Everyday European tableaux from the Middle The sounds of Vivaldi, Handel and Corelli are Ages to the present, starring simple folk and transformed into new music by G. Kouroupos, knights, servants and masters, lovers and family N. Athineos, M. Moysidis and Ch. Gogios men, all share a socio-political critique and meta- physical gaze, cutting humour, as well as sus- Concerti and concerti grossi by Handel, Vivaldi pense. and Corelli inspire new creations, which are pre- Pommerat’s gaze is fixed on the devaluation of sented for the first time in the world by four lead- Europe’s great cultural heritage: humanism. The ing Greek composers, Giorgos Kouroupos, Nikos Kanigunda company stages this work as a bizarre Athineos, Markos Moysidis and Charalambos chamber circus, and asks: How much humanism Gogios, especially for the Camerata on period has been left in this amoral Europe of capital mar- instruments and the Onassis Cultural Centre. kets? Consumption? Auschwitz? The poverty and The passionate music of 18th century's Italian- deprivation of our metropolises? The rise and fall style concerto, with masterful solos from many of the euro? Eight actors play more than forty instruments in original combinations, causes a

Trade with Greece Trade 127 122-128 Master CULTURE_Makri RIGHT:186-189_Lionarakis1_21-29.qxd 10/4/2013 11:26 ðì Page 122

unique dialogue of the old with the new, through political play for young people, combined with the the Camerata's baroque period instruments. launching of an artistic exchange with other coun- A musical duel between the extrovert baroque tries and institution at a crucial junction for our style and the diverse musical language of the country, also inspired the title of this year's festi- 21st century, on an evening that, by all means, val: Youths - Citizens of the world. holds many surprises and lots of adrenaline. In collaboration with the British Council

Youth Theatre ・May 17-19 2013 ・ Upper Stage Music ・ May 24, 2013 ・ Upper Stage ・ 21:00 3RD YOUTH THEATRE SUBHANKAR BANERJEE FESTIVAL INDIAN MUSIC SOLOIST DUETS YOUTHS – CITIZENS OF THE WORLD An Indian evening at the Centre, in a very Connecting theatre with the young people's special performance concerns India's classical music operates in its own time universe, resembling more of a prolonged ritual After the 2nd Youth Theatre Festival that was held than a Western concert. The Centre proposes in spring 2012, Grasshoper and the Onassis you an evening of three jugalbandi, that is duets Cultural Centre are presenting, with renewed of soloists that are on an equal footing. This for- enthusiasm and inspiration, the 3rd Youth Theatre mat allows the development of a high quality Festival: three days full of performances stem- musical dialogue between instruments from the ming from the methodical and intensive collabo- same or different families or between different ration of theatre groups from high schools, as well musical traditions (e.g. Carnatic and Hindustan). as municipalities, with directors, actors and, for Sarangi is the most important bowed instrument the first time, three playwrights: Erifilli Lekka, of the Hindustani tradition, famous for its timbre, Georgia Mavragani and Lenos Christidis. Our aim which resembles the sound of the human voice, is to produce high quality Greek theatre for young and one of the most ancient Indian string instru- –as well as other– people, capitalizing on the cre- ments. The other two instruments that will add to ativity, imagination and talent of the new genera- the dynamic closing of the evening are the well- tion and our interaction with them. Moreover, this known tablas, and the sreekhol, a clay percussion year the Centre is launching its collaboration with instrument that is struck from both sides. London's National Theatre and the Connections In all parts, the tablas are played by Subhankar project. This is a selection of plays that were com- Banerjee, one of the most important virtuosos of missioned to established playwrights, and were the younger generation, who is also the music- staged in 2012 in various schools throughout the coordinator of the show. UK. At the Centre, these plays will be read out by Among the duets there will be intervals, during youth theatre companies of Athens, adding a new which the members of the audience will have the dimension to this year's Youth Theatre Festival. opportunity to taste Indian delicacies. “The youths of today are tomorrow's adults and “Pandit” Subhankar Banerjee: tablas, heirs to the chaotic situation we are bequeathing music co-ordinator them” says Yannis Tsiros, author of the play Brajeswar Mukherjee: voice Elefthera Ydata (Free waters), which is presented “Ustad” Murat Ali Khan: sarengi by the Centre's Youth Theatre. The selection of a “Pandit” Gopal Burman: sreekhol Trade with Greece Trade 128 STATISTICS_pinakes:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 11:29 ðì Page 129 STATISTICS_pinakes:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 11:29 ðì Page 130

Greek exports up by 12.2% in the first ten-months of 2012

The top-10 categories of Greek exports to EU countries

The dynamism of Greek exports, amidst the adverse economic cli- mate of the past three years, has been evident since the very first months of 2012. The signs that Greece’s foreign trade is recovering, through a simultaneous increase in exports and imports, are verified by the provisional data from October 2012 regarding the country’s commercial transactions, which were analyzed by the Panhellenic Exporters Association and the Export Research Centre (KEEM). Trade with Greece Trade 130 STATISTICS_pinakes:44-47 KAKOURIS 1_21x29.qxd 10/4/2013 11:29 ðì Page 131

he positive effects from the disbursement of the It is worth noting that both the OECD and the European bailout tranche, the apparent recovery of our part- Commission recently predicted that in 2013 the growth rate Tners’ confidence (especially the Europeans’) and of Greece’s exports of goods and services will be the sec- the actual interest for investments and acquisitions shown ond-highest since 2010. More specifically, the OECD pre- by Third Countries, offer a valuable opportunity to restart dicts that total exports (of goods and services) will register the economy on the basis of a new production-export a 3% increase in 2013, as compared to a 5.2% increase in model. 2010 and a 2.9% decrease in 2012, while the Commission According to the president of the Panhellenic Exporters sees an increase of 2.7% (as compared to a 5.2% increase Association, Ms. Christina Sakellaridi: “The revival of the in 2010 and a 0.8% increase last year). country’s foreign trade, even the increase in imports, espe- Current data show that, in the first ten-months of 2012 cially in the case of raw materials used for the production of (January-October), merchandise exports, excluding oil larger quantities of tradable Greek products, augurs well for products, rose by 6.4%, to €14,014.8 million (US$18,040.8 the year 2013, provided, above all, that the forecasts of million), from €13,168.2 million (US$18,536.7 million) in the Greek and international organizations are realized, and liq- same period of 2011. (The tables provide a detailed break- uidity in the domestic market is enhanced. In case the viabil- down of the top-ten categories of exports, according to ity of the country’s export-oriented enterprises is secured ELSTAT data.) through access to new credit lines, the utilization of the This growth was facilitated by last October’s significant NSRF, as well as the payment of the state’s obligations to the increase, when Greek merchandise exports, excluding oil private sector then, despite the recessionary climate that products, rose to €1,507.2 million (US$1,961.2 million) prevails in many European economies, Greek exports will from €1,343.5 million (US$1,846.9 million) in October 2011, continue to grow in 2013. In other words, Greek exporters increased by 12.2%. are the ones that will continue to show the way towards the The increase of both imports and exports in October 2012 Greek economy’s recovery. In the opposite case, the derail- caused fluctuations in the course of the country’s trade bal- ing of export-oriented entrepreneurship –the engine of ance. In October 2012, the trade deficit, excluding oil prod- recovery– will drag thousands of businesses, workers and ucts, stood at €1,199.9 million (US$1,540.3 million), as entire sectors down into much deeper recession.” compared to €1,139.8 million (US$1,546.6 million) in the same month of 2011, widened by 5.3%. In contrast, during the entire period January-October 2012 the deficit continued to shrink, falling to €11,243.9 million (US$14,289.4 million) from €13,970.7 million (US$19,414.8 million) in the same period of 2011, reduced by 19.5%. The exporters themselves may express their satisfaction for the growth of Greek exports despite the domestic reces- sion, with both the economies of our major trading EU part- ners also in crisis, both Greece and its European prospect being the target of rumours and alarmism, and, above all, with the tragic lack of liquidity in the domestic market, but they also point out to the risks from complacency and the non-resolution of major issues. The continuation of export growth (the only positive eco- nomic indicator for the past three-years) in 2013, is condi- tional on the final and efficient resolution of the sector’s liq- uidity problems. As stressed by the exporters’ representa- tives, the immediate disbursement of VAT refunds, the uti- lization of the NSRF for supporting extrovert entrepreneur- ship and the implementation of the reform timetable by the Ministry of Development, in conjunction with the mobiliza- tion of both the country’s banking system and international organizations, are necessary conditions for this to happen. Otherwise, thousands of jobs will be lost, recession will become two percentage points deeper than expected, and both the country’s fiscal targets, and the possibility of reducing the debt and restarting the economy, will get off track. Trade with Greece Trade 131 TTSISpnks4-7KKUI _12.x 0421 13 ìPg 132 Page ðì 11:30 10/4/2013 1_21x29.qxd KAKOURIS STATISTICS_pinakes:44-47 132 Trade with Greece MACHINERY NUCLEAR REACTORS, BOILERS, CHETED ACCESSORIES, KNITTEDORCRO- ARTICLES OF APPAREL -CLOTHING EQUIPMENT MACHINERYELECTRICAL AND THEREOF PLASTICS ANDARTICLES THEREOF ALUMINIUM ANDARTICLES TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND FRUIT, NUTS PREPARATIONS OFVEGETABLES, CITRUS FRUIT OR MELONS EDIBLE FRUIT AND NUTS;PEEL OF TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- PHARMACEUTICAL PRODUCTS MACHINERY NUCLEAR REACTORS, BOILERS, CHETED ACCESSORIES, KNITTEDORCRO- ARTICLES OF APPAREL -CLOTHING EQUIPMENT MACHINERYELECTRICAL AND ARTICLES OFIRONORSTEEL FRUIT, NUTS PREPARATIONS OFVEGETABLES, THEREOF PLASTICS ANDARTICLES COPPER ARTICLES COPPER AND TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- THEREOF ALUMINIUM ANDARTICLES PHARMACEUTICAL PRODUCTS NETHERLANDS FRANCE 359,040,410 516,607,382 17,680,724 15,806,703 20,362,016 26,003,799 26,546,729 33,478,267 49,009,437 53,398,949 12,408,559 13,604,985 24,653,699 34,661,630 42,398,396 42,965,880 47,224,414 57,922,587 58,441,724 22,011,353 JANUARY-OCTOBER JANUARY-OCTOBER 8,758,747 9,894,967 (Euros) (Euros) VALUE VALUE 2012 2012 QUANTITY QUANTITY 289,779,755 556,951,679 16,020,548 32,356,326 12,258,937 10,784,160 19,692,607 24,612,216 27,236,205 3,197,446 2,389,152 1,361,174 6,172,072 2,060,748 8,404,206 7,999,280 3,322,301 4,464,569 630,040 297,389 555,403 504,856 MACHINERY NUCLEAR REACTORS, BOILERS, CHETED ACCESSORIES, KNITTEDORCRO- ARTICLES OF APPAREL - CLOTHING EQUIPMENT MACHINERYELECTRICAL AND THEREOF PLASTICS ANDARTICLES THEREOF ALUMINIUM ANDARTICLES TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND FRUIT, NUTS PREPARATIONS OFVEGETABLES, CITRUS FRUIT OR MELONS EDIBLE FRUIT AND NUTS;PEEL OF TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- PHARMACEUTICAL PRODUCTS MACHINERY NUCLEAR REACTORS, BOILERS, CHETED ACCESSORIES, KNITTEDORCRO- ARTICLES OF APPAREL -CLOTHING EQUIPMENT MACHINERYELECTRICAL AND ARTICLES OFIRONORSTEEL FRUIT, NUTS PREPARATIONS OFVEGETABLES, THEREOF PLASTICS ANDARTICLES COPPER ARTICLES COPPER AND TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- THEREOF ALUMINIUM ANDARTICLES PHARMACEUTICAL PRODUCTS NETHERLANDS FRANCE 387,166,800 516,728,648 20,158,778 10,695,775 15,163,205 27,960,154 38,201,204 27,429,902 35,875,984 37,976,565 59,905,385 11,774,028 JANUARY-OCTOBER 12,758,830 22,268,328 12,285,418 30,404,836 39,229,422 48,564,064 49,742,257 67,018,381 48,353,818 JANUARY-OCTOBER 9,455,823 (Euros) (Euros) VALUE VALUE 2011 2011 QUANTITY QUANTITY 204,552,370 560,690,184 29,882,832 29,271,618 27,524,954 10,283,470 20,932,414 11,097,793 3,575,319 1,971,417 1,320,490 4,954,239 9,517,661 4,790,996 3,983,726 1,451,204 1,095,131 2,215,374 6,573,034 1,572,788 315,024 533,684 TTSISpnks4-7KKUI _12.x 0421 13 ìPg 133 Page ðì 11:30 10/4/2013 1_21x29.qxd KAKOURIS STATISTICS_pinakes:44-47 CHETED ACCESSORIES, KNITTEDORCRO- ARTICLES OF APPAREL -CLOTHING THEREOF PLASTICS ANDARTICLES TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF THEREOF ALUMINIUM ANDARTICLES COPPER ARTICLES COPPER AND FRUIT, NUTS PREPARATIONS OFVEGETABLES, PHARMACEUTICAL PRODUCTS EQUIPMENT MACHINERYELECTRICAL AND AND PROVISIONS CONFIDENTIAL PRODUCTSSTORES MACHINERY NUCLEAR REACTORS, BOILERS, COPPER ARTICLES COPPER AND CEREALS PHARMACEUTICAL PRODUCTS AL WAXES. BITUMINOUS SUBSTANCES; MINER- MINERAL FUELS,MINERAL OILS; THEREOF PLASTICS ANDARTICLES ETABLE WAXES FATS AND OILS; ANIMAL ORVEG- TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- THEREOF ALUMINIUM ANDARTICLES UNITED KINGDOM ITALY 1,880,093,365 687,016,665 141,448,281 189,130,037 260,649,937 55,297,512 112,241,911 20,390,498 25,168,282 28,799,934 42,523,042 45,045,046 47,578,886 48,642,771 66,671,208 90,043,613 37,592,050 49,753,274 55,725,396 58,746,064 59,320,350 63,535,785 JANUARY-OCTOBER JANUARY-OCTOBER (Euros) (Euros) VALUE VALUE 2012 2012 1,657,045,033 QUANTITY QUANTITY 195,939,242 333,022,311 119,812,573 12,530,184 76,426,348 29,377,992 15,155,775 54,822,024 25,532,558 53,465,811 11,419,291 39,676,962 9,120,790 5,783,332 8,415,153 4,670,906 7,400,488 2,043,222 836,157 689,668 74 CHETED ACCESSORIES, KNITTEDORCRO- ARTICLES OF APPAREL -CLOTHING THEREOF PLASTICS ANDARTICLES TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF THEREOF ALUMINIUM ANDARTICLES COPPER ARTICLES COPPER AND FRUIT, NUTS PREPARATIONS OFVEGETABLES, PHARMACEUTICAL PRODUCTS EQUIPMENT MACHINERYELECTRICAL AND AND PROVISIONS CONFIDENTIAL PRODUCTSSTORES MACHINERY NUCLEAR REACTORS, BOILERS, COPPER ARTICLES COPPER AND CEREALS PHARMACEUTICAL PRODUCTS AL WAXES. BITUMINOUS SUBSTANCES; MINER- MINERAL FUELS,MINERAL OILS; THEREOF PLASTICS ANDARTICLES ETABLE WAXES FATS AND OILS; ANIMAL ORVEG- TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- THEREOF ALUMINIUM ANDARTICLES UNITED KINGDOM ITALY 637,526,640 1,637,641,177 22,240,308 22,303,836 25,817,349 40,972,699 39,830,541 49,161,054 43,577,563 61,217,039 80,779,947 86,015,329 JANUARY-OCTOBER 130,906,492 209,016,134 329,455,242 JANUARY-OCTOBER 83,047,494 43,581,895 50,755,395 79,904,125 36,350,297 76,920,798 (Euros) VALUE (Euros) VALUE 2011 2012 QUANTITY 1,472,037,694 399,015,855 QUANTITY 10,500,613 14,767,869 57,963,478 20,779,710 289,678,970 139,383,356 26,811,615 14,126,333 48,069,766 72,381,345 1,577,952 6,982,422 6,458,221 12,911,154 44,011,818 4,897,711 5,938,011 7,895,215 745,063 133 Trade with Greece TTSISpnks4-7KKUI _12.x 0421 13 ìPg 134 Page ðì 11:30 10/4/2013 1_21x29.qxd KAKOURIS STATISTICS_pinakes:44-47 134 Trade with Greece COPPER AND COPPER ARTICLES COPPER AND BEVERAGES, SPIRITS AND VINEGAR TUBERS ROOTS AND EDIBLE VEGETABLES AND CERTAIN ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF CHETED ACCESSORIES, KNITTEDORCRO- ARTICLES OF APPAREL -CLOTHING EQUIPMENT MACHINERYELECTRICAL AND THEREOF ALUMINIUM ANDARTICLES FRUIT, NUTS PREPARATIONS OFVEGETABLES, PHARMACEUTICAL PRODUCTS CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF FOOD INDUSTRIES-ANIMAL FEEDS RESIDUES AND WASTE FROM THE ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF MATERIALS THE LIKEOFMAN-MADE TEXTILE MAN-MADE FILAMENTS;STRIP AND THEREOF PLASTICS ANDARTICLES FRUIT, NUTS PREPARATIONS OFVEGETABLES, TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- MACHINERY NUCLEAR REACTORS, BOILERS, EQUIPMENT MACHINERYELECTRICAL AND PHARMACEUTICAL PRODUCTS IRELAND GERMANY 1,447,136,432 JANUARY-OCTOBER 2012 109,147,251 39,569,182 44,355,078 81,481,603 89,098,008 45,611,979 127,289,689 130,805,917 136,810,106 211,989,767 18,325,313 JANUARY-OCTOBER 1,015,504 1,257,143 1,365,212 1,389,759 1,581,226 1,833,959 2,489,325 (Euros) (Euros) VALUE VALUE 560,166 888,318 923,773 2012 QUANTITY QUANTITY 100,501,790 879,791,857 115,839,640 38,395,136 31,789,939 16,205,276 24,277,250 44,654,738 15,684,259 6,276,526 3,813,127 4,308,578 4,413,870 1,338,795 291,200 148,461 375,723 337,412 250,197 245,445 80,921 21,313 COPPER AND COPPER ARTICLES COPPER AND BEVERAGES, SPIRITS AND VINEGAR TUBERS ROOTS AND EDIBLE VEGETABLES AND CERTAIN ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF CHETED ACCESSORIES, KNITTEDORCRO- ARTICLES OF APPAREL -CLOTHING EQUIPMENT MACHINERYELECTRICAL AND THEREOF ALUMINIUM ANDARTICLES FRUIT, NUTS PREPARATIONS OFVEGETABLES, PHARMACEUTICAL PRODUCTS CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF FOOD INDUSTRIES-ANIMAL FEEDS RESIDUES AND WASTE FROM THE ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF MATERIALS THE LIKEOFMAN-MADE TEXTILE MAN-MADE FILAMENTS;STRIP AND THEREOF PLASTICS ANDARTICLES FRUIT, NUTS PREPARATIONS OFVEGETABLES, TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- MACHINERY NUCLEAR REACTORS, BOILERS, EQUIPMENT MACHINERYELECTRICAL AND PHARMACEUTICAL PRODUCTS GERMANY IRELAND 1,456,867,923 JANUARY-OCTOBER 2011 124,760,571 121,758,046 141,570,971 128,707,432 206,042,320 49,817,302 45,193,773 33,047,101 66,245,980 88,556,754 19,156,288 JANUARY-OCTOBER 1,301,019 1,249,335 1,690,300 1,168,296 4,828,373 1,837,911 (Euros) (Euros) VALUE VALUE 154,160 888,318 616,700 999,435 2011 QUANTITY QUANTITY 102,413,934 102,289,766 951,926,686 40,362,885 21,926,309 16,056,027 23,183,209 47,466,418 4,413,870 1,705,107 9,973,877 7,494,004 4,246,089 3,075,246 341,288 469,075 357,447 184,162 77,050 95,779 28,560 69,094 TTSISpnks4-7KKUI _12.x 0421 13 ìPg 135 Page ðì 11:30 10/4/2013 1_21x29.qxd KAKOURIS STATISTICS_pinakes:44-47 MACHINERY NUCLEAR REACTORS, BOILERS, ETABLE WAXES FATS AND OILS; ANIMAL ORVEG- TRAMWAY ROLLINGSTOCK VEHICLES OTHER THAN RAILWAY OR CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF THEREOF ALUMINIUM ANDARTICLES FRUIT, NUTS PREPARATIONS OFVEGETABLES, ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF THEREOF PLASTICS ANDARTICLES EQUIPMENT MACHINERYELECTRICAL AND PHARMACEUTICAL PRODUCTS EQUIPMENT MACHINERYELECTRICAL AND MACHINERY NUCLEAR REACTORS, BOILERS, THEREOF PLASTICS ANDARTICLES FRUIT, NUTS PREPARATIONS OFVEGETABLES, THEROF FURSKINS -FURS,MANUFACTURES CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF TIONS MISCELLANEOUS EDIBLEPREPARA- ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF THEREOF ALUMINIUM ANDARTICLES PHARMACEUTICAL PRODUCTS AUSTRIA DENMARK 137,825,149 102,706,436 12,538,847 14,875,642 15,098,276 26,249,219 15,973,062 35,139,936 11,945,973 JANUARY-OCTOBER JANUARY-OCTOBER 2,298,475 2,950,317 3,278,516 4,606,159 4,833,162 5,283,697 5,968,965 6,676,941 3,842,381 4,208,194 5,262,909 5,277,340 6,502,238 (Euros) (Euros) VALUE VALUE 2012 2012 QUANTITY QUANTITY 30,384,792 74,922,574 12,113,828 2,628,332 7,288,278 3,262,053 4,649,792 1,047,417 1,671,907 1,688,463 2,245,797 9,777,914 3,330,652 7,053,067 3,625,583 175,816 512,047 815,296 517,602 168,214 989,512 30,281 EQUIPMENT MACHINERYELECTRICAL AND MACHINERY NUCLEAR REACTORS, BOILERS, THEREOF PLASTICS ANDARTICLES FRUIT, NUTS PREPARATIONS OFVEGETABLES, THEROF FURSKINS -FURS,MANUFACTURES CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF TIONS MISCELLANEOUS EDIBLEPREPARA- ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF THEREOF ALUMINIUM ANDARTICLES PHARMACEUTICAL PRODUCTS MACHINERY NUCLEAR REACTORS, BOILERS, ETABLE WAXES FATS AND OILS; ANIMAL ORVEG- TRAMWAY ROLLINGSTOCK VEHICLES OTHER THAN RAILWAY OR CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF THEREOF ALUMINIUM ANDARTICLES FRUIT, NUTS PREPARATIONS OFVEGETABLES, ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF THEREOF PLASTICS ANDARTICLES EQUIPMENT MACHINERYELECTRICAL AND PHARMACEUTICAL PRODUCTS DENMARK AUSTRIA 100,336,133 158,005,937 40,966,982 10,975,481 15,545,496 26,396,731 11,629,731 JANUARY-OCTOBER JANUARY-OCTOBER 1,992,659 1,163,442 3,790,314 3,165,013 5,370,293 5,006,571 5,821,839 6,899,626 3,653,877 2,545,859 1,836,359 3,761,842 7,798,302 9,002,787 9,672,696 (Euros) (Euros) VALUE VALUE 2011 2011 QUANTITY QUANTITY 127,371,808 25,869,686 1,529,813 8,289,351 2,570,505 2,804,984 7,999,547 1,645,383 1,103,771 1,101,096 2,082,773 6,871,255 3,377,577 3,348,571 8,553,848 8,136,711 578,097 231,464 165,219 586,917 77,077 74,817 135 Trade with Greece TTSISpnks4-7KKUI _12.x 0421 13 ìPg 136 Page ðì 11:30 10/4/2013 1_21x29.qxd KAKOURIS STATISTICS_pinakes:44-47 136 Trade with Greece MACHINERY NUCLEAR REACTORS, BOILERS, PHARMACEUTICAL PRODUCTS CIOUS STONES; COINS PEARKS; PRECIOUSORSEMI-PRE- THEREOF ALUMINIUM ANDARTICLES COPPER ARTICLES COPPER AND FRUIT, NUTS PREPARATIONS OFVEGETABLES, TRAMWAY ROLLINGSTOCK VEHICLES OTHER THAN RAILWAY OR THEREOF PLASTICS ANDARTICLES AND PROVISIONS CONFIDENTIAL PRODUCTSSTORES TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND BEVERAGES, SPIRITS AND VINEGAR STEEL IRON AND MACHINERY NUCLEAR REACTORS, BOILERS, MENTS OPTICAL, PHOTOGRAPHIC INSTRU- THEREOF ALUMINIUM ANDARTICLES AND PROVISIONS CONFIDENTIAL PRODUCTS STORES COPPER ARTICLES COPPER AND THEREOF PLASTICS ANDARTICLES PHARMACEUTICAL PRODUCTS TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- BELGIUM SPAIN 336,392,614 277,476,164 21,885,879 26,152,381 31,590,526 64,564,265 10,410,430 15,241,970 15,406,500 16,951,545 19,392,547 24,069,607 43,326,364 10,958,893 12,762,621 14,885,708 21,601,303 50,411,204 11,646,264 JANUARY-OCTOBER JANUARY-OCTOBER 7,923,156 7,134,621 8,446,329 (Euros) (Euros) VALUE VALUE 2012 2012 QUANTITY QUANTITY 212,352,424 292,220,119 13,917,588 18,647,300 14,443,140 13,127,324 4,930,249 2,001,982 2,883,185 6,541,479 9,122,888 7,596,349 2,358,718 5,077,941 7,788,818 3,158,017 1,112,512 122,360 905,250 290,761 488,085 23,392 MACHINERY NUCLEAR REACTORS, BOILERS, PHARMACEUTICAL PRODUCTS CIOUS STONES; COINS PEARKS; PRECIOUSORSEMI-PRE- THEREOF ALUMINIUM ANDARTICLES COPPER ARTICLES COPPER AND FRUIT, NUTS PREPARATIONS OFVEGETABLES, TRAMWAY ROLLINGSTOCK VEHICLES OTHER THAN RAILWAY OR THEREOF PLASTICS ANDARTICLES AND PROVISIONS CONFIDENTIAL PRODUCTSSTORES TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND BEVERAGES, SPIRITS AND VINEGAR STEEL IRON AND MACHINERY NUCLEAR REACTORS, BOILERS, MENTS OPTICAL, PHOTOGRAPHIC INSTRU- THEREOF ALUMINIUM ANDARTICLES AND PROVISIONS CONFIDENTIAL PRODUCTS STORES COPPER ARTICLES COPPER AND THEREOF PLASTICS ANDARTICLES PHARMACEUTICAL PRODUCTS TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- BELGIUM SPAIN 233,364,470 344,591,399 14,806,087 13,472,582 13,525,876 12,731,996 18,348,637 22,409,015 34,378,207 33,140,015 20,274,546 20,255,245 31,744,100 27,277,285 23,526,757 22,558,001 70,383,517 10,211,045 JANUARY-OCTOBER JANUARY-OCTOBER 6,315,938 3,344,792 9,622,220 (Euros) (Euros) VALUE VALUE 2011 2011 QUANTITY QUANTITY 263,563,129 291,078,102 13,780,240 14,310,043 15,816,205 11,039,881 11,782,628 3,800,393 6,480,323 9,344,405 3,825,970 3,034,724 5,530,059 1,779,997 2,578,389 5,448,382 5,894,490 906,144 387,629 221,746 5,274 TTSISpnks4-7KKUI _12.x 0421 13 ìPg 137 Page ðì 11:30 10/4/2013 1_21x29.qxd KAKOURIS STATISTICS_pinakes:44-47 FOOTWEAR, GAITERS AND THE LIKE ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF PHARMACEUTICAL PRODUCTS THEREOF ALUMINIUM ANDARTICLES THEREOF PLASTICS ANDARTICLES MACHINERY NUCLEAR REACTORS, BOILERS, STEEL IRON AND GRAPHIC GOODS PHOTOGRAPHIC ORCINEMATO- TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- EQUIPMENT MACHINERYELECTRICAL AND ETABLE WAXES FATS AND OILS; ANIMAL ORVEG- EQUIPMENT MACHINERYELECTRICAL AND ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF THEROF FURSKINS -FURS,MANUFACTURES PHARMACEUTICAL PRODUCTS TIONS MISCELLANEOUS EDIBLEPREPARA- FRUIT, NUTS PREPARATIONS OFVEGETABLES, STEEL IRON AND AND PROVISIONS CONFIDENTIAL PRODUCTSSTORES LUXEMBURG FINLAND 124,536,333 10,624,937 72,519,068 JANUARY-OCTOBER JANUARY-OCTOBER 2,271,790 5,621,319 1,137,702 1,145,858 1,260,354 2,668,649 4,374,168 5,200,244 6,025,839 9,326,779 (Euros) (Euros) VALUE VALUE 104,866 133,998 189,668 215,897 334,549 584,615 813,532 494,110 56,945 69,587 2012 2012 QUANTITY QUANTITY 26,928,015 48,897,698 1,473,885 6,727,987 4,866,919 1,385,448 332,090 227,029 159,471 346,923 315,087 166,320 159,695 510,048 44,417 32,912 14,982 47,270 34,206 20,437 20,662 1,294 101 ETABLE WAXES FATS AND OILS; ANIMAL ORVEG- EQUIPMENT MACHINERYELECTRICAL AND ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF THEROF FURSKINS -FURS,MANUFACTURES PHARMACEUTICAL PRODUCTS TIONS MISCELLANEOUS EDIBLEPREPARA- FRUIT, NUTS PREPARATIONS OFVEGETABLES, STEEL IRON AND AND PROVISIONS CONFIDENTIAL PRODUCTSSTORES FOOTWEAR, GAITERS AND THE LIKE ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF PHARMACEUTICAL PRODUCTS THEREOF ALUMINIUM ANDARTICLES THEREOF PLASTICS ANDARTICLES MACHINERY NUCLEAR REACTORS, BOILERS, STEEL IRON AND GRAPHIC GOODS PHOTOGRAPHIC ORCINEMATO- TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- EQUIPMENT MACHINERYELECTRICAL AND FINLAND LUXEMBURG 100,077,409 139,656,906 14,137,984 JANUARY-OCTOBER JANUARY-OCTOBER 1,662,985 1,135,545 3,173,642 3,302,604 2,214,680 6,208,456 8,057,975 1,127,347 2,523,958 (Euros) (Euros) VALUE VALUE 747,675 309,447 515,022 343,884 333,617 553,984 714,453 44,676 89,872 2011 2011 QUANTITY QUANTITY 29,519,694 57,076,001 4,049,400 2,210,701 5,861,752 1,009,660 710,224 332,744 194,040 127,228 198,294 213,621 135,904 368,866 64,046 15,343 47,849 13,441 45,800 42,763 769 137 Trade with Greece TTSISpnks4-7KKUI _12.x 0421 13 ìPg 138 Page ðì 11:30 10/4/2013 1_21x29.qxd KAKOURIS STATISTICS_pinakes:44-47 138 Trade with Greece ARTIFICIAL WAXES SOAP; WASHING PREPARATIONS; COTTON COPPER ARTICLES COPPER AND EQUIPMENT MACHINERYELECTRICAL AND MACHINERY NUCLEAR REACTORS, BOILERS, TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND PHARMACEUTICAL PRODUCTS THEREOF ALUMINIUM ANDARTICLES THEREOF PLASTICS ANDARTICLES TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- ACCESSORIES, KNITTED OR CROCHETED ARTICLES OF APPAREL - CLOTHING AND PROVISIONS CONFIDENTIAL PRODUCTS STORES MACHINERY NUCLEAR REACTORS, BOILERS, OPTICAL, PHOTOGRAPHIC INSTRUMENTS MISCELLANEOUS CHEMICAL PRODUCTS CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF TIONS MISCELLANEOUS EDIBLEPREPARA- EQUIPMENT MACHINERYELECTRICAL AND FRUIT, NUTS PREPARATIONS OFVEGETABLES, ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF PORTUGAL SWEDEN 102,529,636 119,173,410 10,505,775 18,294,821 10,545,494 10,819,229 14,192,741 26,803,849 11,664,466 JANUARY-OCTOBER JANUARY-OCTOBER 5,564,240 6,407,724 6,698,464 8,108,134 8,242,915 8,305,754 9,000,122 2,703,474 3,565,464 3,910,690 4,125,249 6,866,801 2,711,613 (Euros) (Euros) VALUE VALUE 2012 2012 QUANTITY QUANTITY 195,957,314 142,544,112 10,390,985 39,818,262 10,128,329 5,015,260 1,129,583 1,169,823 3,588,383 5,945,487 2,229,496 1,446,097 7,565,430 3,242,026 595,778 748,455 879,947 205,082 216,733 400,984 613,627 12,232 ARTIFICIAL WAXES SOAP; WASHING PREPARATIONS; COTTON COPPER ARTICLES COPPER AND EQUIPMENT MACHINERYELECTRICAL AND MACHINERY NUCLEAR REACTORS, BOILERS, TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND PHARMACEUTICAL PRODUCTS THEREOF ALUMINIUM ANDARTICLES THEREOF PLASTICS ANDARTICLES TEBRATES OTHER AQUATICINVER- LUSCS AND FISH AND CRUSTACEANS, MOL- ACCESSORIES, KNITTED OR CROCHETED ARTICLES OF APPAREL - CLOTHING AND PROVISIONS CONFIDENTIAL PRODUCTS STORES MACHINERY NUCLEAR REACTORS, BOILERS, OPTICAL, PHOTOGRAPHIC INSTRUMENTS MISCELLANEOUS CHEMICAL PRODUCTS CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF TIONS MISCELLANEOUS EDIBLEPREPARA- EQUIPMENT MACHINERYELECTRICAL AND FRUIT, NUTS PREPARATIONS OFVEGETABLES, ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF PORTUGAL SWEDEN 110,082,968 111,447,629 10,371,440 19,606,259 25,522,295 10,600,098 17,463,289 16,326,116 JANUARY-OCTOBER JANUARY-OCTOBER 2,899,176 3,574,674 2,226,563 4,238,627 4,488,488 6,782,576 9,107,173 3,850,831 4,232,859 7,443,065 6,847,158 8,805,938 5,786,232 (Euros) (Euros) VALUE VALUE 2011 2011 QUANTITY QUANTITY 141,012,734 187,709,185 13,198,749 48,492,051 4,440,650 8,171,252 7,206,814 3,128,854 1,047,510 3,290,549 5,374,840 5,368,211 134,321 591,510 466,249 697,098 812,358 357,238 924,949 896,671 274,288 TTSISpnks4-7KKUI _12.x 0421 13 ìPg 139 Page ðì 11:30 10/4/2013 1_21x29.qxd KAKOURIS STATISTICS_pinakes:44-47 COPPER AND COPPER ARTICLES COPPER AND MACHINERY NUCLEAR REACTORS, BOILERS, FUMERY ESSENTIAL OILS-RESINOIDS; PER- ARTICLES OFIRONORSTEEL TUBERS ROOTS AND EDIBLE VEGETABLES AND CERTAIN FRUIT, NUTS PREPARATIONS OFVEGETABLES, EQUIPMENT MACHINERYELECTRICAL AND CITRUS FRUIT OR MELONS EDIBLE FRUIT AND NUTS;PEEL OF TIONERY SUGARS AND SUGARCONFEC- KNITTED ORCROCHETEDFABRICS MACHINERY NUCLEAR REACTORS, BOILERS, EQUIPMENT MACHINERYELECTRICAL AND CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF TIONERY SUGARS AND SUGARCONFEC- CHETED ACCESSORIES, KNITTEDORCRO- ARTICLES OF APPAREL -CLOTHING TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND STEEL IRON AND COPPER ARTICLES COPPER AND THEREOF PLASTICS ANDARTICLES CZECH REPUBLIC BULGARIA PLASTICS AND ARTICLES THEREOF PLASTICS ANDARTICLES 108,267,253 911,304,031 28,863,855 32,328,993 41,744,280 44,043,505 44,651,376 51,507,583 56,552,046 72,102,586 71,576,911 11,101,026 43,244,118 JANUARY-OCTOBER JANUARY-OCTOBER 6,928,625 7,514,467 9,174,820 2,779,636 3,496,657 3,930,483 3,960,318 4,264,098 6,481,554 (Euros) (Euros) VALUE VALUE 2012 2012 QUANTITY QUANTITY 100,345,909 105,504,741 937,044,611 56,610,077 10,077,587 12,429,263 50,588,423 19,343,226 12,696,988 77,759,083 5,677,154 4,250,547 8,242,097 8,545,365 2,410,648 6,285,516 8,023,430 1,969,387 681,873 477,307 354,085 917,491 KNITTED ORCROCHETEDFABRICS MACHINERY NUCLEAR REACTORS, BOILERS, EQUIPMENT MACHINERYELECTRICAL AND CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF TIONERY SUGARS AND SUGARCONFEC- CHETED ACCESSORIES, KNITTEDORCRO- ARTICLES OF APPAREL -CLOTHING TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND STEEL IRON AND COPPER ARTICLES COPPER AND THEREOF PLASTICS ANDARTICLES COPPER AND COPPER ARTICLES COPPER AND MACHINERY NUCLEAR REACTORS, BOILERS, FUMERY ESSENTIAL OILS-RESINOIDS; PER- ARTICLES OFIRONORSTEEL TUBERS ROOTS AND EDIBLE VEGETABLES AND CERTAIN FRUIT, NUTS PREPARATIONS OFVEGETABLES, EQUIPMENT MACHINERYELECTRICAL AND CITRUS FRUIT OR MELONS EDIBLE FRUIT AND NUTS;PEEL OF TIONERY SUGARS AND SUGARCONFEC- BULGARIA CZECH REPUBLIC PLASTICS AND ARTICLES THEREOF PLASTICS ANDARTICLES 921,143,951 32,338,472 39,170,067 60,316,695 38,479,019 42,301,827 44,435,150 65,772,363 62,102,716 70,687,107 10,555,391 96,453,003 46,495,311 JANUARY-OCTOBER JANUARY-OCTOBER 2,516,239 6,927,068 3,014,000 3,154,274 3,305,925 4,919,698 5,677,347 4,246,988 4,792,949 (Euros) (Euros) VALUE VALUE 2011 2011 QUANTITY QUANTITY 964,130,085 115,181,408 20,222,080 65,265,274 84,859,356 68,474,917 10,840,561 49,765,785 11,413,278 2,673,837 5,669,450 8,140,388 5,320,491 4,893,250 9,290,813 5,678,728 7,133,139 883,189 681,067 870,530 472,311 311,040 139 Trade with Greece TTSISpnks4-7KKUI _12.x 0421 13 ìPg 140 Page ðì 11:30 10/4/2013 1_21x29.qxd KAKOURIS STATISTICS_pinakes:44-47 140 Trade with Greece ETABLE WAXES FATS AND OILS; ANIMAL ORVEG- AND PROVISIONS CONFIDENTIAL PRODUCTSSTORES FECTIONERY PREPARATIONS OFCEREALS-CON- EQUIPMENT MACHINERYELECTRICAL AND COLOURING MATTER TANNING ORDYEINGEXTRACTS; FUMERY ESSENTIAL OILS-RESINOIDS;PER- THEREOF FELTWADDING,etc. ANDARTICLES FRUIT, NUTS PREPARATIONS OFVEGETABLES, CEREALS MACHINERY NUCLEAR REACTORS, BOILERS, COPPER AND COPPER ARTICLES COPPER AND ARTICLES OFIRONORSTEEL MACHINERY NUCLEAR REACTORS, BOILERS, CEREALS FRUIT, NUTS PREPARATIONS OFVEGETABLES, THEREOF PLASTICS ANDARTICLES PHARMACEUTICAL PRODUCTS CITRUS FRUIT OR MELONS EDIBLE FRUIT AND NUTS;PEEL OF EQUIPMENT MACHINERYELECTRICAL AND THEREOF ALUMINIUM ANDARTICLES ESTHONIA HUNGARY 10,914,260 14,714,595 77,990,759 JANUARY-OCTOBER JANUARY-OCTOBER 10,131,111 1,151,488 1,791,343 2,732,848 4,377,910 4,408,938 4,496,425 9,606,559 6,333,463 (Euros) (Euros) VALUE VALUE 262,940 265,983 322,259 338,323 372,527 385,626 473,472 572,816 653,691 960,882 2012 2012 QUANTITY QUANTITY 10,884,758 24,938,641 60,781,005 1,270,308 4,666,034 2,556,946 6,163,156 1,855,174 4,838,654 183,731 318,034 130,804 198,936 549,826 154,958 420,997 167,989 38,947 93,714 79,413 5,561 4,083 ETABLE WAXES FATS AND OILS; ANIMAL ORVEG- AND PROVISIONS CONFIDENTIAL PRODUCTSSTORES FECTIONERY PREPARATIONS OFCEREALS-CON- EQUIPMENT MACHINERYELECTRICAL AND COLOURING MATTER TANNING ORDYEINGEXTRACTS; FUMERY ESSENTIAL OILS-RESINOIDS;PER- THEREOF FELTWADDING,etc. ANDARTICLES FRUIT, NUTS PREPARATIONS OFVEGETABLES, CEREALS MACHINERY NUCLEAR REACTORS, BOILERS, COPPER AND COPPER ARTICLES COPPER AND ARTICLES OFIRONORSTEEL MACHINERY NUCLEAR REACTORS, BOILERS, CEREALS FRUIT, NUTS PREPARATIONS OFVEGETABLES, THEREOF PLASTICS ANDARTICLES PHARMACEUTICAL PRODUCTS CITRUS FRUIT OR MELONS EDIBLE FRUIT AND NUTS;PEEL OF EQUIPMENT MACHINERYELECTRICAL AND THEREOF ALUMINIUM ANDARTICLES ESTHONIA HUNGARY 12,683,026 15,661,746 16,890,546 86,586,613 JANUARY-OCTOBER JANUARY-OCTOBER 5,198,821 1,596,627 2,225,749 3,802,066 5,882,165 4,396,642 4,478,486 4,254,309 (Euros) (Euros) VALUE VALUE 379,672 242,252 309,367 320,549 229,152 399,261 185,682 354,568 186,960 757,378 2011 2011 QUANTITY QUANTITY 13,403,163 30,706,237 76,840,023 3,058,379 7,083,834 2,109,827 5,620,454 3,662,013 210,932 535,914 176,720 278,552 307,453 336,000 411,572 114,144 51,384 32,242 29,938 81,772 26,230 70,247 TTSISpnks4-7KKUI _12.x 0421 13 ìPg 141 Page ðì 11:30 10/4/2013 1_21x29.qxd KAKOURIS STATISTICS_pinakes:44-47 AND OTHER AQUATIC INVER FISH AND CRUSTACEANS, MOLLUSCS OF PAPER PAPERPAPERBOARD; AND ARTICLES THEREOF PLASTICS ANDARTICLES CEREALS EQUIPMENT MACHINERYELECTRICAL AND FRUIT, NUTS PREPARATIONS OFVEGETABLES, MACHINERY NUCLEAR REACTORS, BOILERS, PHARMACEUTICAL PRODUCTS PEEL OFCITRUSFRUIT ORMELONS EDIBLE FRUIT AND NUTS; BEVERAGES, SPIRITS AND VINEGAR FRUIT, NUTS PREPARATIONS OFVEGETABLES, PHARMACEUTICAL PRODUCTS CEREALS TRAMWAY ROLLINGSTOCK VEHICLES OTHER THAN RAILWAY OR CLES OFPAPER PAPERPAPERBOARD; AND ARTI- THEREOF ALUMINIUM ANDARTICLES THEREOF FELTWADDING,etc. ANDARTICLES KNITTED ORCROCHETEDFABRICS CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND LATVIA LITHUANIA TEBRATES 19,276,943 JANUARY-OCTOBER JANUARY-OCTOBER 2,884,550 1,160,918 6,878,028 1,008,765 1,098,422 1,101,241 1,102,356 1,102,824 2,818,041 (Euros) (Euros) VALUE VALUE 219,252 232,935 303,846 332,454 418,971 564,812 598,591 971,095 638,062 741,328 828,254 237,951 2012 2012 QUANTITY QUANTITY 11,280,781 1,877,422 4,351,155 4,085,410 7,472,617 230,054 501,863 258,564 292,107 303,049 418,077 301,204 576,000 100,475 903,639 341,736 78,865 38,852 52,553 17,600 11,837 8,206 FRUIT, NUTS PREPARATIONS OFVEGETABLES, PHARMACEUTICAL PRODUCTS CEREALS TRAMWAY ROLLINGSTOCK VEHICLES OTHER THAN RAILWAY OR CLES OFPAPER PAPERPAPERBOARD; AND ARTI- THEREOF ALUMINIUM ANDARTICLES THEREOF FELTWADDING,etc. ANDARTICLES KNITTED ORCROCHETEDFABRICS CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND AND OTHER AQUATIC INVER FISH AND CRUSTACEANS, MOLLUSCS OF PAPER PAPERPAPERBOARD; AND ARTICLES THEREOF PLASTICS ANDARTICLES CEREALS EQUIPMENT MACHINERYELECTRICAL AND FRUIT, NUTS PREPARATIONS OFVEGETABLES, MACHINERY NUCLEAR REACTORS, BOILERS, PHARMACEUTICAL PRODUCTS PEEL OFCITRUSFRUIT ORMELONS EDIBLE FRUIT AND NUTS; BEVERAGES, SPIRITS AND VINEGAR LITHUANIA LATVIA TEBRATES 15,789,072 JANUARY-OCTOBER JANUARY-OCTOBER 1,303,076 1,385,063 5,869,195 4,113,988 (Euros) (Euros) VALUE VALUE 426,696 507,673 491,228 525,690 392,091 998,470 908,634 242,323 508,990 292,641 558,517 257,760 406,483 276,528 118,738 72,090 2011 2011 QUANTITY QUANTITY 3,450,006 1,026,570 1,055,149 6,289,640 101,052 887,000 364,765 263,978 297,688 138,832 406,054 154,739 138,877 361,303 463,542 12,765 62,887 14,103 65,486 91,314 5,932 141 Trade with Greece TTSISpnks4-7KKUI _12.x 0421 13 ìPg 142 Page ðì 11:30 10/4/2013 1_21x29.qxd KAKOURIS STATISTICS_pinakes:44-47 142 Trade with Greece EQUIPMENT MACHINERYELECTRICAL AND FUMERY ESSENTIAL OILS-RESINOIDS;PER- TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND MACHINERY NUCLEAR REACTORS, BOILERS, CEREALS PHARMACEUTICAL PRODUCTS FRUIT, NUTS PREPARATIONS OFVEGETABLES, THEREOF PLASTICS ANDARTICLES CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF THEREOF ALUMINIUM ANDARTICLES FERTILISERS FRUIT, NUTS PREPARATIONS OFVEGETABLES, EQUIPMENT MACHINERYELECTRICAL AND MACHINERY NUCLEAR REACTORS, BOILERS, THEREOF ALUMINIUM ANDARTICLES CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF STEEL IRON AND COPPER ARTICLES COPPER AND THEREOF PLASTICS ANDARTICLES POLAND ROMANIA 468,419,063 219,794,465 42,073,983 14,091,285 71,465,024 18,196,497 18,580,090 19,922,549 48,145,715 16,657,219 19,466,387 20,785,029 26,814,250 38,049,793 52,034,600 19,902,002 JANUARY-OCTOBER JANUARY-OCTOBER 9,969,649 5,510,924 5,988,526 8,989,613 5,111,539 (Euros) (Euros) VALUE VALUE 2012 2012 QUANTITY QUANTITY 189,280,606 102,556,778 486,800,276 76,432,930 31,698,335 21,421,736 38,478,593 15,028,629 22,736,510 43,517,731 11,510,135 8,023,445 1,052,043 1,250,676 1,087,123 1,098,510 5,939,466 4,263,109 8,533,355 7,960,826 400,714 EQUIPMENT MACHINERYELECTRICAL AND FUMERY ESSENTIAL OILS-RESINOIDS;PER- TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND MACHINERY NUCLEAR REACTORS, BOILERS, CEREALS PHARMACEUTICAL PRODUCTS FRUIT, NUTS PREPARATIONS OFVEGETABLES, THEREOF PLASTICS ANDARTICLES CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF THEREOF ALUMINIUM ANDARTICLES FERTILISERS FRUIT, NUTS PREPARATIONS OFVEGETABLES, EQUIPMENT MACHINERYELECTRICAL AND MACHINERY NUCLEAR REACTORS, BOILERS, THEREOF ALUMINIUM ANDARTICLES CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF STEEL IRON AND COPPER ARTICLES COPPER AND THEREOF PLASTICS ANDARTICLES POLAND ROMANIA 220,003,718 500,090,249 40,704,329 10,381,420 19,358,662 19,571,404 19,349,465 48,485,005 10,133,187 16,005,017 27,383,640 25,975,672 48,153,015 67,166,798 52,413,724 11,424,329 11,446,380 31,811,490 15,684,918 JANUARY-OCTOBER JANUARY-OCTOBER 7,492,153 5,350,507 (Euros) (Euros) VALUE VALUE 2011 2011 QUANTITY QUANTITY 128,367,714 535,600,695 172,742,692 72,101,185 22,716,160 25,939,305 38,561,880 29,394,019 37,331,888 14,044,802 11,856,054 7,585,738 3,859,758 4,846,840 8,152,129 1,453,084 1,188,278 1,194,396 1,777,001 7,960,826 291,443 TTSISpnks4-7KKUI _12.x 0421 13 ìPg 143 Page ðì 11:30 10/4/2013 1_21x29.qxd KAKOURIS STATISTICS_pinakes:44-47 REQUISITES TOYS, GAMES AND SPORTS TIONS MISCELLANEOUS EDIBLEPREPARA- FUMERY ESSENTIAL OILS-RESINOIDS;PER- ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF THEREOF PLASTICS ANDARTICLES OR CROCHETED ING ACCESSORIES, NOT KNITTED OF APPARELARTICLES CLOTH- AND STEEL IRON AND PHARMACEUTICAL PRODUCTS MACHINERY NUCLEAR REACTORS, BOILERS, EQUIPMENT MACHINERYELECTRICAL AND PHARMACEUTICAL PRODUCTS THEREOF ALUMINIUM ANDARTICLES STEEL IRON AND FRUIT, NUTS PREPARATIONS OFVEGETABLES, ARTICLES OFIRONORSTEEL TUBERS ROOTS AND EDIBLE VEGETABLES AND CERTAIN THEREOF PLASTICS ANDARTICLES EQUIPMENT MACHINERYELECTRICAL AND CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF AND PROVISIONS CONFIDENTIAL PRODUCTSSTORES CYPRUS SLOVAKIA 156,756,334 843,325,342 1,158,556 25,416,915 26,672,556 27,022,982 27,202,871 27,461,201 31,310,558 48,734,248 52,657,403 14,613,624 50,586,804 37,157,679 JANUARY-OCTOBER JANUARY-OCTOBER 1,964,814 2,037,800 2,217,858 2,513,959 2,537,052 4,674,882 4,963,299 4,525,060 (Euros) (Euros) VALUE VALUE 2012 2012 QUANTITY QUANTITY 11,280,781 443,055,447 36,045,690 10,603,307 11,167,816 11,163,990 68,639,624 1,960,278 2,627,043 3,923,552 2,746,415 5,461,817 4,431,423 7,088,831 8,734,035 1,282,295 9,021,063 2,658,763 1,517,117 435,016 778,811 24,674 62,884 REQUISITES TOYS, GAMES AND SPORTS TIONS MISCELLANEOUS EDIBLEPREPARA- FUMERY ESSENTIAL OILS-RESINOIDS;PER- ANIMAL ORIGIN MILK; EGGS;HONEY; PRODUCTSOF THEREOF PLASTICS ANDARTICLES OR CROCHETED ING ACCESSORIES, NOT KNITTED OF APPARELARTICLES CLOTH- AND STEEL IRON AND PHARMACEUTICAL PRODUCTS MACHINERY NUCLEAR REACTORS, BOILERS, EQUIPMENT MACHINERYELECTRICAL AND PHARMACEUTICAL PRODUCTS THEREOF ALUMINIUM ANDARTICLES STEEL IRON AND FRUIT, NUTS PREPARATIONS OFVEGETABLES, ARTICLES OFIRONORSTEEL TUBERS ROOTS AND EDIBLE VEGETABLES AND CERTAIN THEREOF PLASTICS ANDARTICLES EQUIPMENT MACHINERYELECTRICAL AND CITRUS FRUIT ORMELONS EDIBLE FRUIT AND NUTS;PEEL OF AND PROVISIONS CONFIDENTIAL PRODUCTSSTORES CYPRUS SLOVAKIA 123,096,354 880,031,851 26,557,004 24,666,227 29,259,776 22,869,932 29,140,020 36,763,724 56,874,217 54,246,833 14,082,449 50,696,783 49,499,084 JANUARY-OCTOBER JANUARY-OCTOBER 2,469,934 1,010,797 4,037,039 1,886,655 3,484,847 3,433,089 1,531,785 (Euros) (Euros) VALUE VALUE 994,617 2011 2011 QUANTITY QUANTITY 454,818,237 10,832,930 10,644,360 54,028,739 92,209,994 4,790,697 4,312,852 3,825,295 6,738,703 1,392,902 5,305,812 2,473,284 1,330,084 5,548,974 1,892,723 7,109,751 1,538,966 1,116,543 252,204 441,130 686,608 143 Trade with Greece TTSISpnks4-7KKUI _12.x 0421 13 ìPg 144 Page ðì 11:30 10/4/2013 1_21x29.qxd KAKOURIS STATISTICS_pinakes:44-47 144 Trade with Greece FOOD INDUSTRIES-ANIMAL FEEDS RESIDUES AND WASTE FROM THE TIONS MISCELLANEOUS EDIBLEPREPARA- BEVERAGES, SPIRITS AND VINEGAR THEREOF WATCHESCLOCKS AND PARTS AND STEEL IRON AND TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND PHARMACEUTICAL PRODUCTS MACHINERY NUCLEAR REACTORS, BOILERS, EQUIPMENT MACHINERYELECTRICAL AND EQUIPMENT MACHINERYELECTRICAL AND CHETED ACCESSORIES, KNITTEDORCRO- ARTICLES OF APPAREL -CLOTHING PHARMACEUTICAL PRODUCTS MENTS OPTICAL, PHOTOGRAPHIC INSTRU- FOOTWEAR, GAITERS AND THE LIKE CITRUS FRUIT OR MELONS EDIBLE FRUIT AND NUTS;PEEL OF POUNDS OFPRECIOUSMETALS INORGANIC CHEMICALS;COM- AL WAXES. BITUMINOUS SUBSTANCES; MINER- MINERAL FUELS,MINERAL OILS; ALUMINIUM AND ARTICLES THEREOF ALUMINIUM ANDARTICLES MALTA SLOVENIA PLASTICS AND ARTICLES THEREOF PLASTICS ANDARTICLES PLASTICS AND ARTICLES THEREOF PLASTICS ANDARTICLES 121,952,223 24,377,959 12,869,807 83,183,894 JANUARY-OCTOBER JANUARY-OCTOBER 2,098,879 1,060,715 1,157,068 1,385,919 1,452,187 1,471,015 2,454,814 2,898,353 3,714,682 2,252,699 2,318,725 2,997,439 1,420,293 1,646,654 1,879,931 2,009,490 (Euros) (Euros) VALUE VALUE 776,250 826,408 2012 2012 QUANTITY QUANTITY 14,356,857 72,482,539 60,811,495 2,091,133 4,443,889 2,807,396 4,746,041 218,592 254,003 672,141 657,461 821,587 115,975 112,073 97,152 57,854 69,149 32,783 80,035 70,164 292 10 FOOD INDUSTRIES-ANIMAL FEEDS RESIDUES AND WASTE FROM THE TIONS MISCELLANEOUS EDIBLEPREPARA- BEVERAGES, SPIRITS AND VINEGAR THEREOF WATCHESCLOCKS AND PARTS AND STEEL IRON AND TOBACCO SUBSTITUTES MANUFACTUREDTOBACCO AND PHARMACEUTICAL PRODUCTS MACHINERY NUCLEAR REACTORS, BOILERS, EQUIPMENT MACHINERYELECTRICAL AND EQUIPMENT MACHINERYELECTRICAL AND CHETED ACCESSORIES, KNITTEDORCRO- ARTICLES OF APPAREL - CLOTHING PHARMACEUTICAL PRODUCTS MENTS OPTICAL, PHOTOGRAPHIC INSTRU- FOOTWEAR, GAITERS AND THE LIKE CITRUS FRUIT OR MELONS EDIBLE FRUIT AND NUTS;PEEL OF POUNDS OFPRECIOUSMETALS INORGANIC CHEMICALS;COM- AL WAXES. BITUMINOUS SUBSTANCES; MINER- MINERAL FUELS,MINERAL OILS; ALUMINIUM AND ARTICLES THEREOF ALUMINIUM ANDARTICLES MALTA SLOVENIA PLASTICS AND ARTICLES THEREOF PLASTICS ANDARTICLES PLASTICS AND ARTICLES THEREOF PLASTICS ANDARTICLES 23,421,291 21,868,312 34,914,081 83,742,936 JANUARY-OCTOBER JANUARY-OCTOBER 1,293,936 2,030,696 1,419,591 1,092,722 2,349,659 2,266,085 2,316,235 1,802,915 3,326,478 1,168,266 1,849,451 2,631,857 2,040,669 3,655,807 (Euros) (Euros) VALUE VALUE 744,224 573,519 398,315 999,681 2011 2011 QUANTITY QUANTITY 14,866,517 83,080,741 97,660,386 1,250,999 2,693,701 1,896,958 6,127,160 5,711,258 181,106 414,093 188,267 732,091 85,600 83,954 25,296 59,526 76,335 61,145 30,011 87,911 6,632 92 Montaz 11 B:Layout 1 6/4/2011 10:12 ðì Page 2

ACCI ADMINISTRATIVE COMMITEE PRESIDENT: Michalos Constantine FIRST VICE PRESIDENT: Kourtalis Eleftherios

SECOND VICE PRESIDENT: Granitsas John

GENERAL SECRETARY: Palli Giannakopoulou Alexandra

TREASURER: Sofianos Nikolaos

GENERAL DIRECTOR: Moukakou Sotiria

ACCI DEPARTMENTS

TRADE DEPARTMENT: President: Fragos Panagiotis INDUSTRY DEPARTMENT: President: Dimitriou Dimitrios EXPORT DEPARTMENT otz21:aot11//0321 ìPg 1 Page ìì 2:19 12/4/2013 1 2013:Layout Montaz

Trade with Greece2013 THE ATHENS CHAMBER OF COMMERCE AND INDUSTRY

Trade withGreece ANNUAL BUSINESS, ECONOMIC AND POLITICAL REVIEW to growth of Greece’s return brings thehope tough, 2013 Although Antonis Samaras, PrimeMinisterofGreece recession behind’’ ‘‘Our country is currentlyleavingtheworst ofthe No 44 2013