Warsaw Business Forum Poland-Hungary

On 22nd of March, 2013 a business forum organized by the Polish Ministry of Economy, the Hungarian Ministry for National Economy, Hungarian Investment and Trade Agency and the PTWP S.A. group took place in Warsaw. Present at the meeting were, among others, the Polish and Hungarian president, representatives of ministries of economy of both countries, as well as Polish and Hungarian businessmen. In the following we would like to present you the most important questions of bilaterial Polish-Hungarian economic relations that were discussed during the business meeting in Warsaw.

In the first place a disproportion in the bilateral exchange of goods has been observed: Polish export to Hungary is significantly higher than the Hungarian export to the Polish market. At the same time, Hungary has been exporting more goods to a four times smaller than the Polish Slovak market. The representatives of the Polish Ministry of Economy have emphasized that in 2012 Polish-Hungarian exchange decreased by 4%, which was caused mainly by persisting economic crisis in both countries. The level of direct foreign investment is also inequitabile: Hungarian enterprises have invested in Poland three-times as much as Polish enterprises did in Hungary.

According to the participants of the meeting, the Poland’s main advantage is its economic, political and legal stability, not to mention the size of the Polish market. It has been observed that mostly big Hungarian companies invest in Poland (TriGranit, Gedeon Richter, MOL), however, smaller Hungarian enterpreneurs are expected to follow the giants soon.

Polish enterpreneurs operating in Hungary have complained about the lack of legislative stability in Hunagry. The charmain of the Central Eastern European Commerce Council present at the meeting pointed out several restrictive legal provisions that limit free competition in Hungary. This was supported by Polish businessmen, who had faced a number of strict rules concerning the participation in public procurement, which had frequently prevented them from taking part in public tenders, e.g. organized by the Hungarian national rail carrier.