One of the largest European developers recently said that, if you want to grow in the development sector in central Europe, You have to think about Poland. I can’t disagree with him
Why Poland? Here are five points that you should consider.
1.British Brands in Poland
Many British brands have already made major inroads in Poland. The country is the largest Central European market for Tesco, which has more than 400 stores and 2£bn turnover in Poland.
It‘s not just big businesses that can take advantage of exporting to Poland. Statistics show that Poland is a major importer of goods, including manufactured products, chemical and machinery. That means the country is importing more value of goods than countries like Saudi Arabia, Sweden and Portugal.
2.Market Stability and Good ratings
Poland is a stable market with a transparent legal system, a market with a developed and stable financial system. It is one of the few countries which has coped well with the global recession. The evidence? According to Polish information and foreign investment agency (PAIH), which cites data from the European Commission, the Polish economy grew by 3.2 % in 2014. This shows that the Polish economy growth is higher than in the European Union as a whole, where average GDP growth this year is expected to be 1.6%.
Poland is the largest economy in Central and Eastern Europe and the 6th largest economy in the European Union and has a population of over 38.5 million people. This means that we are the sixth most populous country in the EU. Poland has been a member of European Union since 2004. The ratings of the Polish economy issued by reputable international rating agencies are very positive.
3. Improvement in trade
Along with the splendid economic growth rate, Poland has been increasingly competitive abroad, as seen in ever-growing exports figures. Poland for the first time in its history noticed a positive trade balance (EUR 3.7bn) in 2015, and the tendency continued in 2016 and 2017. Exports have increased by an astonishing 150.3% by the last decade, making Poland the new EU’s exporting engine. Almost 2/3 of Poland ‘s export value is generated by companies with foreign capital. Poland ‘s traditional trade partners are located in the EU (80% of exports share), but there has also been a gradual increase in trade co-operation with emerging and developing economies. With this much improvement in trade, Poland can be considered in the list of one of the important business trademarks for all investors in the European market, especially the UK investing firms.
4. A Huge Domestic market with 38 million consumers
Investors have a big opportunity in Poland because it has a huge domestic market with 38 million consumers. Poland having a low exposure of western brands can be of high importance to UK investors as they will be having low competition in the market. The country ‘s continuing high level of consumer spending remains particularly attractive for investors due to the size of the Polish market. The rising consumption and higher personal consumption expenditure are confirmed by rising consumer confidence indicators and the strong indicator of consumer optimism. Companies which invest in Poland, a country with a large domestic market and a perfect export-oriented location, gain new development opportunities. A number of new clients can be reached either in Poland or in the markets which are easily accessible from Poland –both in the West and East.
5. A great scheme for Foreign investors
The country offers a wide range of investment incentives. Investors are invited to locate their projects in 14 special Economic zones (SEZ). I.e. special zones where economic activity may be run in favourable conditions. Polish SEZs offer attractive tax exemptions, employment incentives and well-prepared investment lots.
This gives English investors a very good advantage in starting up a business in Poland with such good incentives by the government.
