Joint Polish-Korean Opportunities

Kim Hyun Cheol pointed out that political developments also had an impact on Polish-Korean relations.

“As the geopolitical situation changed, our countries decided to intensify cooperation in the area of supply chains”, he said.

The head of KOTRA in Europe hopes that in the future, the cooperation between the two countries may lead to joint expansion into other foreign markets.

Shin Hyon mentioned that LS Cable’s presence in Poland gives them access to the European market.

“We are happy with the opportunity to work with a partner like Poland. We have two plants here, thanks to which our products can be found on almost the entire EU market. Polish authorities have offered us tax incentives and our plants employ well-educated workers”, he said.

Jerzy Kwieciński pointed out that something that Poland and Korea have in common is that the economies of both countries are open and export-oriented.

“The ratio of exports value to GDP in Poland is around 60 percent, while in Korea it is 85 percent. These numbers are significantly above average. Both economies also had to rise from the ashes – after the war in the 1950s, Korea grew from one of the poorest economies to one of the world’s economic powerhouses. Today, Korea is one of the most important exporters in the world, and Poland aspires to increase its role in this field”, said Jerzy Kwieciński. He also pointed out that the imbalance in the trade balance between Poland and Korea stems, among others, from the fact that while Korean investments in Poland do contribute to Polish exports, the goods are not exported to Korea, but to other countries.

“Korea has chosen Poland as its gateway to Europe, and we are well-prepared for this”, said the Vice-President of the Management Board of Bank Pekao SA.

“Between 2000 and 2022, in terms of capital volume, as many as 6 out of 10 largest foreign investments came from Korea”, emphasised Paweł Kurtasz, adding that in a similar ranking based on the number of jobs created as part of the investment, 3 out of 10 companies were Korean. They are also increasingly participating in the construction of Poland’s critical infrastructure, such as the Central Communication Port, the nuclear power plant, and Olefins.

He also said that although there is a considerable disproportion in trade flows between Korea and Poland, with Poland definitely importing more than it exports, Polish entrepreneurs increasingly often have the opportunity to establish themselves on the Korean market.

“Korea must import 70 percent of its food. 75 percent of milk produced in UHT technology in Korea comes from Poland”, he pointed out.

He added that more and more companies are interested in entering the Korean market. The Seoul office of the Polish Investment and Trade Agency (PAIH) successfully brokered 10 export contracts last year; there are already 9 this year. Currently, over 200 entrepreneurs are interested in exporting to the Korean market.

Kim Hyun Cheol confirmed that Korea wants to import Polish food products, and cooperation agreements signed in July will make it easier.

He added that well-educated and ample human resources are important advantages of investing in Poland. Zenon Kosiniak-Kamysz, in turn, pointed out that the size of our economy and our location at the centre of Europe are our advantages as well, and that Poland’s attractiveness has increased in recent years.

“Road infrastructure has improved significantly, and we have also developed the network of connections – we now have a direct air service to Seoul”, said Zenon Kosiniak-Kamysz.

According to Jerzy Kwieciński, tourism traffic between Poland and Korea should increase. This would contribute to an even greater intensification of cooperation, which is presently entering a new era.

“Korea is no longer just the largest Asian investor in Poland, but also becoming one of Poland’s largest partners globally. Recently, this has involved not only economic aspects but also the political ones, in view of cooperation in the defence sector”, he said, pointing out that funding is also needed for this. He hopes that Bank Pekao SA will have an opportunity to contribute. “A few months ago, we signed a cooperation agreement with KB Kookmin Bank, Korea’s largest bank. We would like to cooperate with both Korean companies in Poland and Polish companies investing in Korea”, said Jerzy Kwieciński.

AH

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