Minister of Industry, Entrepreneurship and Trade, Mrs. Rozeta Hajdari, held the closing conference of 2021 in front of media. Minister Hajdari presented the achievements of MIET and thanked the collaborators for the successes achieved.
Thank you for responding to our invitation to inform you about the achievements of our strategic plan for 2021. Today, I am with my colleagues from the Ministry of Industry, Entrepreneurship and Trade, and in the absence of others from the ministry, who are on the field today, firstly I would like to thank everyone, for the cooperation and successful work achieved so far.
The plan of the Ministry of Industry, Entrepreneurship and Trade, for 2021 includes 6 priorities or strategic objectives, which are:
1. Improving the environment of doing business
2. Developing industrial and trade policies
3. Developing entrepreneurship, innovation and industrial property
4. Enabling Sustainable development through tourism
5. Promoting and supporting investments,
6. Improving quality infrastructure, including consumer protection
I would like to inform you that my mandate started first with the review of all functions in the ministry, where we also had the merger of portfolios from the former Ministry of Innovation and Entrepreneurship. The main priorities are the issues that have been waiting for many years, especially those that have negatively reflected in the Stabilization and Association Agreement report and consequently have brought many difficulties in doing business, bringing more challenges and less progress in Kosovo.
We have given as a priority the acceleration of the implementation of the measures deriving from the European Agenda and I am pleased to announce that we have managed to implement 75% of the measures as obligations by the Ministry of Industry, Entrepreneurship and Trade, of the European Agenda Plan including the implementation of the SAA.
During the same year, we created working groups for drafting policies of industry, entrepreneurship, innovation and investment, which will also be a guide for identifying all the potentials of Kosovar industry, which will be possible to be part of supply value chain in the region, in Europe and beyond.
With genuine analysis based on field evidence, we believe that together with colleagues, will be identified significant potentials and will be invested more, because these industries, which are with so little capacity and so little participation in Local GDP, have entrepreneurial potential, and can also be future suppliers of the value chain in the regional market and beyond.
Regarding the implementation of the European Agenda Plan, I would like to inform you that we have 11 laws that we have approved in the Government and some of them have already been approved by the Parliament.
1. Draft Law on Trade with Petroleum Products and Renewable Fuels, which has been waiting for more than 10 years for approval.
2. The Draft Law on Inspections, which was a pending multi-year reform and which will enable the review and consolidation of the Inspectorates in our Republic.
3. Draft Law on Protection of Competition
4. Draft Law on Foreign Trade
5. Draft Law on Tourism
6. Draft Law on Precious Metals Works
7. Draft Law on Semiconductor Topographies
8. Draft Law on Industrial Design
9. Draft Law on Patents
10. Draft Law on Trademarks
11. Draft Law on Trade Secrets
In the approval procedure are:
12. Draft Law on Investment Promotion and Protection
13. Draft Law on Economic Zones
14. Draft Law on Compulsory Oil Reserves, and
15. Draft Law on Entrepreneurship and Innovation, which are under internal review.
First Strategic Objective – Improving Doing Business:
The Code of Corporate Governance, the AI (GRK) on the Registration of Representative Offices of the Foreign Business Organizations and the AI for the Registration of Business Organizations, have been approved. The Concept Paper for the Register of Beneficial Owners and the Concept Paper for Business Organizations have been finalized. The Business Registration Agency has also signed other cooperation agreements to further enhance its operation.
In order to promote and advance entrepreneurship and strengthen public dialogue, Small Business Days 2021 were organized and on this occasion three information conferences were held in (Pristina, Peja and Gjakova). In order to support and empower women in business, the fair "Women in Business" was held in Pristina, which was attended by 13 businesses and NGOs.
Market Surveillance has improved – the inspections are increasing by 54%, out of a total of 1690 inspections of last year, now we have 2602 inspections this year as well as addressing customer requirements and addressing the difficulties of our exporters.
Furthermore, related to the European Integration processes, the opportunity to benefit from the European Single Market Program (EU Single Market Program) funded by the European Union has been opened. Now, Kosovar companies, including business associations, can apply for open calls from the Single Market Program, which will support various industrial sectors, with a budget of 4.2 billion euros for the period 2021-2027.
Second Strategic Objective – Development of Industrial and Trade Policies:
The Industrial Strategy Working Group has been established, and during this year, the analysis of 5 industrial sectors has been finalized.
Kosovo's participation in the international fair "Expo 2020 Dubai" was organized as the most important international exhibition, with the participation of 192 countries and 25 million visitors for 6 months, October 2021 – March 2022. In addition to preparations at the national level, led by MIET, about the reorganization of the pavilion, providing funds for the participation and presentation of our state, in many sectorial topics of "Expo 2020 Dubai" we as a ministry, through a public call, have selected representatives from industry, innovation, entrepreneurship and tourism, and have funded their participation in "Expo 2020 Dubai" days of conferences and global business forums, in the interest of our country and industry.
In terms of trade, the decision for partial annulment of the Administrative Instruction (MTI) No. 09/2020 on the control and quality of liquid petroleum fuels has been approved, as some articles are clearly in conflict with the Constitution and applicable laws, thus had to be revoked.
The Administrative Instruction for determining the conditions and criteria for the subjects that deal with the trade of tobacco and its products has also been approved. The program for the elimination of trade barriers under Articles 34-36 of the Treaty on the Functioning of the EU has also been approved.
Letters were sent to CEFTA to remove UNMIK representation from this agreement and full representation of Kosovo in this mechanism which was not approved by the Joint Committee, due to lack of consensus. Meanwhile, Kosovo has opposed the approval of ministerial conclusions and the three draft decisions, where one of them is worth mentioning is the recognition of economic operators as a proposal from Serbia.
I have also issued four trade decisions: i) for anti-dumping protective measure in the amount of 0.03 cents on the import of concentrates for poultry and animals; ii) for protective measure of 0.03 cents on the import of standard blocks 19x19x25 from Serbia, iii) for limiting values of engine oils and iv) for protective measures on imports for confectionery products from Serbia.
Moreover, today I signed the decision on determining the form and national conformity mark, for construction products used in the Republic of Kosovo, which decision allows them to be made available on the market in the Republic of Kosovo, only when the products of other states, are marked with the conformity mark recognized in the international agreement, which has been ratified by the Republic of Kosovo.
With MIET`s proposal, the Government has approved the establishment of the Market Protection Task Force, to have a market protected from unfair imports, elimination of export barriers and in order to further increase exports, which results in improving the balance trade, fair competition, quality and safe products as well as consumer protection.
Regarding the trade of strategic goods, during 2021, 112 licenses were issued, out of which 100 are individual import licenses and 12 are re-export individual licenses. 35 companies were provided with certificates for registration in the register and 30 field inspections were carried out. 358 requests for strategic goods have been identified and classified. Regarding legislative developments, the AI on registration and licensing of operators for trade in strategic goods has been approved. The list of dual-use goods in the Government of Kosovo has also been updated and approved, and the database for strategic goods has been finalized and functionalized.
Regarding the establishment of the Single Contact Point under the Services Directive 2006/123/EC, have been identified the sectors that will be digitized through e-Kosovo portal. The license application process for the legal auditors sector is currently integrated in e-Kosovo. Its full functioning for public use depends on the approval of the Kosovo Financial Reporting Board.
Third Strategic Objective – Development of Entrepreneurship, Innovation and Industrial Property:
In addition to the Draft Law on Innovation and Entrepreneurship, which is being finalized, a working group has been established which is working on drafting a document on Innovation and Entrepreneurship Policy.
Within the Initiative for Digital Empowerment, during this year, two phases of business support have been realized, where in one 40 enterprises have benefited, while in the other phase 11 enterprises have been supported in the process of digital transformation.
The draft regulation on the functioning of the Regional Centre for Innovation and Entrepreneurship at the Faculty of Mechanical Engineering at UP has been finalized.
Regarding the field of Industrial Property, a working group has been established which is working on the drafting of the Industrial Property Program 2022-2025. This strategic document will strengthen the Industrial Property system by ensuring an effective level of registration and protection of Industrial Property rights.
Four trainings for capacity building of the Industrial Property Agency have been conducted, and with the support of the EU project, training has been organized for the Department of Economic Crimes and Corruption and the training of the Department of Cybercrime, on investigation and crime techniques in the field of intellectual property and training in the field of geographical indicators for the commission of experts for the control of agricultural products and food items.
During this calendar year, were received 1863 applications for trademarks, 16 applications for patents and 30 applications for the protection of industrial designs, as well as 4747 other applications were received from the parties. The Industrial Property Agency has reviewed the claims and has issued 6733 documents to complete the review of the industrial property objects.
Fourth Strategic Objective – Sustainable Development through Tourism:
Although this sector has not received much attention, it is a priority in itself, this year and the following years, according to the governing program. So far we have approved and approved in the Government the Law on Tourism and the Tourism Strategy is also being finalized.
While, in terms of grant calls for entrepreneurship and innovation, we have included the tourism sector, in addition to the criteria for full inclusion, dedicated to marginalized groups (women and youth).
We will also create the supply chain value of tourism, and moreover, we will create the Tourism Brand for Kosovo. We are also in cooperation with international partners and we expect more progress in the field of multidimensional tourism, starting from culture and cultural heritage, natural potentials, gastronomy, handicrafts, sports and our other tourism potentials.
Fifth Strategic Objective – Investment Promotion and Support:
We have established a working group to draft national investment policies.
Within the after-care service, 584 foreign businesses were contacted and visits were made to 94 investors, who were provided with the necessary support.
Regarding investments, according to the CBK report, from 2010 to 2020 the average of foreign direct investments for the first nine months of the year is 215.64 million euros, while in the first nine (9) months of 2021 are 388.9 million euros or 80% increase compared to the current average. It is also worth mentioning that the year 2021 is for 52.9% with more investments than the year 2020 or 79.7% higher than the year 2019.
In terms of exports, according to the report of the CBK, the value of exports January – August 2020 was 290.1 mil / euro while the value of exports January – August 2021 is 471.9 mil / euro that if compared to the same time period, then it turns out that we have an increase of 62.7% of exports in 2021.
It is worth mentioning that the US and Albania are the first countries where Kosovo exports.
Virtual conferences and business forums have been held in Germany, Austria, Japan, EBA, to promote competitive investment potentials in Kosovo, which have been attended by businesses and representatives from Kosovo and the countries mentioned above. After the COVID 19 global crisis, many businesses around the world are looking to reduce their operating and transportation costs, move closer near shoring and diversify their supplies. Kosovo has good competitive potential for investment, starting from the workforce and youth, legislation, location, road and digital infrastructure and tax systems.
Regarding the Inter-Ministerial Commission for Strategic Investments, it has been re-functionalized and is in the process of reviewing nine (9) strategic projects, which have completed the technical aspect and now it is expected to make the professional evaluation and review of these projects.
Sixth Strategic Objective – Improving the Quality Infrastructure, including Consumer Protection:
The Government has approved, the Concept Paper for General Product Safety, the Consumer Protection Program 2021-2025, the Technical Regulation for gas appliances, the Regulation for legally controlled measuring instruments, the AI for setting tariffs and commissions for accreditation and other services provided by DAK, Regulation on Gas Equipment, AI for placing on the market doors and windows, AI for placing the terrazzo tiles on the market and the decision was issued with the titles and references of 355 harmonized standards for safety of machinery.
The platform of the technical rules Register has been functionalized and the data have been placed in the register for: 1- draft technical regulations, 41- technical regulations and 16 – bodies designated for conformity assessment.
About 2,000 complaints have been addressed regarding violations of consumer rights in the local market, many of which concerned the quality and quality of products and services. It is also worth mentioning the trust in the new government, where 300% more complaints were received, addressed by MIET.
In terms of certification and quality enhancement of our small and medium enterprises that have export potential, it is more important to mention the important grants through the various schemes we have launched during this year.
Grants launched by MIET:
In order to improve the competitiveness of our businesses in international markets, in August 2021, MIET has announced three schemes to support businesses through grants. Beneficiaries were selected during fall of 2021.
The list of beneficiaries of the fourth grant scheme has also been published – call for matching grants, from the Competitiveness and Export Readiness Project (CERP), according to sub-component 1.2 of CERP – which includes funding for the Matching Grants Program (MGP).
The first scheme, in the field of innovation, with public calls in the electronic system ASHI, in the amount of 1.1 million euros, to support start-up businesses and innovative projects. In December 2021, were selected 11 beneficiary businesses in innovation.
The second scheme, in the field of entrepreneurship, with public calls in the electronic system ASHI, in the amount of 2 million euros, for entrepreneurship supporting start-up businesses, small and medium, for advancement of machinery, capacity building and employment growth, have been selected 6 beneficiary businesses in entrepreneurship.
The third scheme, with public calls in ASHI, in the amount of 500,000 euros for machinery for local producers and processors with export potential and job creation. Were selected 32 micro and small businesses for the purchase of production machinery, in order to increase production capacity and increase employment.
The fourth scheme, CERP – through soft loans in total value from 9.8 million Euros, from the World Bank, have been selected as beneficiaries 142 small and medium businesses with export potential, which will be advanced with machinery, certification with international standards and conformity equipment, training and digitization.
I wish these businesses have success and be future market suppliers in Europe and beyond.
Finally, thank you for your cooperation and I wish you a Happy New Year!
Thank you!
