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Investment Activity in the Czech Republic Continues To Be High Euro Will Be Introduced Later than 2010 Favourable Foreign Trade Dynamics Olomouc Region 01-02 2007 CONTENTS Ministry of Industry and Trade I INTRODUCTION CZECH BUSINESS AND TRADE Question of the Month for Martin Tlapa, Deputy Minister of Industry and Trade.........................................................................................................4 Economic Bi-monthly Magazine with a Supplement is Designed for Foreign I ECONOMIC POLICY Partners, Interested in Cooperation with the Czech Republic Euro Will Be Introduced Later than 2010 .........................................................5 Investment Activity in the Czech Republic Continues To Be High......................7 Issued by: I INVESTMENT PP AGENCY s.r.o. Myslíkova 25, 110 00 Praha 1, Czech Republic PP Agency Preparations for an Amendment to the Investment Incentives Act ...................9 Company with the ISO 9001 certified quality management system for publishing services I BUSINESS AND PRODUCTION EDITORIAL BOARD: Six Linchpins of the Operational Programme Enterprise and Innovations Martin Tlapa (Chairman), Ivan Angelis, 2007-2013.....................................................................................................11 Zdena Balcerová, Jiří Eibel, Zbyněk Frolík, Růžena Hejná, Alžběta Honsová, Josef Jílek, Favourable Foreign Trade Dynamics................................................................13 Ivan Jukl, Marie Košťálová, Marie Pavlů, Castings to Sweden .......................................................................................15 Pavla Podskalská, Josef Postránecký, Libor Rouček, Teamwork by UNISTAV...................................................................................15 Jiřina Semanová, Jarmila Škvrnová, Ivan Voleš I REGION MANAGING EDITOR: Jana Vápeníková NUTS 3 – Olomouc Region ......................................................................16–31 EDITORS: Jaroslava Bradová, Naďa Vávrová I SERVICES REGULAR COLLABORATORS: Development Projects Are Thriving in the Czech Republic ..............................32 Eva Tomášková I PRESENTATION OF FIRMS TRANSLATION: Vlasta Benešová, Alena Kenclová, Robert Krátky, Dagmar Šímová, RESTA s.r.o. .....................................................................................................2 Halka Varhaníková Business Hotel Alley.......................................................................................23 FEICO – Spedition, s.r.o. ................................................................................27 READ: Koutný spol. s r.o...........................................................................................28 Mathew Booth, Ivana Kadlecová, Prague Investments Corporation, s.r.o. ..........................................................33 Katherine McCloghry, Zuzana Pavlíčková TENZOVÁHY, s.r.o..........................................................................................35 GRAPHIC DESIGN: Meopta – optika, s.r.o. ..................................................................................36 Miloslav Bucvan, Helena Dvořáková Cover: www.orangedisc.cz DEADLINE: 24/11/2006 ADDRESS: Myslíkova 25, 110 00 Praha 1 Czech Republic Phone: +420 221 406 623, +420 221 406 626 Fax: +420 224 934 383 e-mail: [email protected] www.ppagency.cz www.mpo.cz/cbt Press run: 13.500 copies. The number of printed and sold copies Olomouc of the journal is verified by auditor, HZ Praha, s.r.o., member of PANNELL KERR FORSTER Worldwide. It is not allowed to reproduce any part of the contents of this journal without prior consent from the editor. Attitudes expressed by the authors of articles carried by CBT need not necessarily be consistent with the standpoint of the Publisher. MK ČR E 6379, ISSN 1211-2208 „Podávání novinových zásilek povoleno Českou poštou, s. p., odštěpný závod Přeprava, č. j. 3468/95, ze dne 24/10/1995“ Investment Activity in the Czech Republic Continues Development Projects Are Thriving in the Czech To Be High Republic 3 | INTRODUCTION Question of the Month for Martin Tlapa, Deputy Minister of Industry and Trade I What do you consider to be the three In November of last year, the European most important changes? Parliament approved the Directive on Certain conditions will remain unchanged. Services in the Internal Market, which For instance in each member state a so- makes it easier for companies to do called single point of contact will be business abroad. The Directive should established, where foreign entrepreneurs ultimately come into force within three will be provided with all information related years from now, by which time the to settling in a particular member state or countries of the European Union will related to cross-border provision of services. have transposed it into their national In addition they will be able to take care of legislation. Should the approval of the all necessary procedures via this single point Directive in its current wording be of contact. considered a victory, loss, or draw for The Directive removes particular obstacles the Czech Republic? What did the CR to cross-border provision of services. achieve and in which areas did it fail? Furthermore, each member state will be It is possible to say that the result was perhaps obliged to carry out a screening of its a draw, yet it was the maximum that could be legislation. This means that it will have to sort achieved at that time. Although from the very through all the relevant laws and remove from beginning the CR supported the original them the afore-stated obstacles. If the state liberal concept of the draft Directive, there wishes to maintain such obstacles within its were a number of European states, together system of law, it will have to duly substantiate with the European Parliament, that were them (public health, public order, and security) strongly opposed to the original version of the and it will have to do so vis-a-vis ` the European proposal. The resulting text is the outcome of Commission as well as in relation to each a compromise agreed among the 25 member member state. This procedure should ensure states and the European Parliament. For this a far greater transparency for short-term reason it is not as ambitious as the original provision of services. wording; however, it still possesses a high Another important point will be the added value in comparison with the former introduction of administrative cooperation state of affairs. Moreover, this was one of the among individual member states, specifically first legislative proposals the CR was able to the introduction of the internal market partake in from the very beginning as information system. Relevant bodies will a member of the EU. And in view of the communicate among themselves; the complexity and political sensitivity of entrepreneur will thus no longer have to take negotiations, the proposal served as an care of all formalities him/herself. excellent test of the ability of Czech experts and diplomats to promote our interests in I Europe. Does the Directive provide sufficient We regret that the scope of the Directive guarantee that member states will no has been limited. The final version has excluded longer be able to hinder Czech many more services sectors than was originally entrepreneurs in their business foreseen. For instance, the provision of social activities? Are there any potential new and health services, audiovisual services, barriers? services provided by notaries, and the services It is possible to say that it does afford of security agencies have all been omitted. The a sufficient guarantee thanks in particular to country of origin principle was also removed the screening procedure. Each member state from the original Directive proposal. To put it will, for instance, have to draw up a list of simply, this principal would have made it applicable licensing regimes; it will have to possible for entrepreneurs to abide by the laws substantiate their necessity as well as all the of their home country abroad. We were, requirements contained within them. If the however, successful on a number of other substantiation does not appeal to the MORE AT: points. For instance, practically the entire European Commission, the member state will original chapter on administrative cooperation have to remove them from its system of law or www.mpo.cz was preserved, the screening of legislation was declare them void. In principle, it will be preserved in the original extent, and, moreover, possible to proceed in this way in the case of at the request of the CR and other member every obstacle a member state wishes to retain www.czechtrade.cz states, screening was broadened to include in its system of law. cross-border provision of services in exchange There should be no new barriers in future www.ceb.cz for the country of origin principle, the thanks to the so-called notification procedure, procedure of tacit assent was preserved, and whereby each new services-related provision is www.egap.cz services of general economic interest have to be submitted to the European Commission remained a part of the Directive. and to the other member states for examination. If they feel that such a provision www.export.cz I contains a hidden obstacle, the member state Will the conditions for Czech concerned will have to either justify the entrepreneurs change considerably? provision or remove it. | 4 CZECH BUSINESS AND TRADE Euro Will Be Introduced Later than 2010 The Czech Republic’s entry into This assessment concerns