The delay in the construction of an airport and of a highway to connect Brasov to the most important cities of the country, the shortage of well-trained labor and politicians’ lack of involvement in addressing the issues entrepreneurs are facing are the main hindrances slowing down the development of the local business sector.
“I think that if the highway is built, Brasov will see spectacular growth, the revenue will double. And if the airport is built, it will double again. We are hardworking, comply with standards, have technology, but are having problems with infrastructure and connections,” said Radu Ionescu, owner of dietary supplements producer Dacia Plant, one of the biggest entrepreneurial businesses in Brasov.
“We discuss with major companies and they cannot comprehend how come we don’t have an airport. We’ve missed a lot of things because of this.”
He attended the `Romania 100 de ani de business. Cum trecem de la idee la business. 100 de idei sa crestem’ (Romania 100 years of business. How to go from idea to business. 100 ideas for growth) conference in Brasov on Thursday, organized by ZF in partnership with Banca Transilvania and audit and advisory firm EY.
This is a project ZF and Banca Transilvania will use to bring together the entrepreneurs in Romania and come up with 100 ideas for Romania’s sustainable development in the future will continue in the biggest cities of the country this year.
“We have a culture of entrepreneurship in Romania and it is growing and further supports Romania’s development. Because if we look, there are no investments in infrastructure, no strategic investments,” said Omer Tetik, CEO of Banca Transilvania during the event attended by about 200 managers, entrepreneurs, consultants and bankers in Brasov.
There may be investments but he for one knows of no detailed ten-year development plan of the country, Omer Tetik added.
Alex Milcev, partner and head of tax and law with EY Romania, too, talked about the importance of entrepreneurship for Romania’s economic development.
“The entrepreneurial class, which has grown quite a lot, is very important for the development of Romania. A lot of progress has been made but there is still a lot to do.”
Brasov ranks eight among Romania’s counties by revenue of its companies, while Bucharest is on the top spot. Companies in Brasov posted more than 41 billion lei (EUR8.8 billion) revenue in 2016, according to the latest officially available data. The neighboring county of Covasna ranked 39th with RON5.7 billion. Entrepreneurs say the development of Brasov would also lead to growth of the businesses in other counties.
“I want Brasov to develop, to open an airport, which people from Covasna could use, too. Like it or not, Covasna is a satellite of Brasov, and the benefits of the development of Brasov will also make an impact on Covasna,” said Romulus Oprea, farmer and representative of the potato producer Romion. He is also the chairman of the National Potato Federation.
Covasna is known for its potato production and the farmers in the federation Romulus Oprea runs export to such countries as Netherlands and Poland.
The county is near the bottom of the export ranking, as its exports barely reach half a billion euros. On the other hand, companies in Brasov export more than EUR3 billion worth of goods every year.
On the other hand, the entrepreneurs in Brasov and Harghita say they are experiencing labor shortage, a problem that most counties in Romania have. The lack of interest on the part of young people in any job that involves labor, the departure of Romanians abroad and the failure of the educational system to adapt to the needs of the business sector are the reasons for the labor shortage.
“People are talking about the education system that is obsolete, about not having specialists, but we need a change of mentality. Education does not end when one graduates from college. We must constantly educate ourselves, both us managers and entrepreneurs and our employees. The potential of Brasov is very high, we have specialists in Brasov, too,” said Laura Teposu, development director of online retailer Brasov-based Libris. (EUR1=RON4.6397)
(English version by Loredana Fratila-Cristescu)