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Aid For Trade
The overall development goal of the Aid for Trade project is to foster sustainable and inclusive economic growth, through the promotion of trade and the enhancement of Kosovo’s competitiveness. Acknowledging the importance of trade and industry in emerging economies and their positive influence over employment and poverty reduction trajectories, project focuses on concrete interventions required to improve Kosovo’s long term trade and economic performance by strengthening capacities to participate in and benefit from international trade.
What do we want to acheive
Aid for Trade project provides technical assistance and supports capacity development for the Ministry of Trade and Industry to develop and implement evidence-based and pro-poor trade reforms. Together with small and medium enterprises and farmers from Economic Region South (ERS) and Mitrovicë/a region, the project works to raise productivity, employment and entrepreneurship, in gender responsive manner, and contribute to improved livelihoods.
Beneficiaries and stakeholders of the Aid for Trade project include a wide range of private and public entities in Kosovo.
Kosovo wide, in close cooperation with Ministry of Trade and Industry:
Technical and Human Capacities
• Established the Industrial Policy Information System (IPIS);
• Established the Petroleum Market Regulation Information System (PMRIS);
• Supported participation of 21 MTI staff (38% women) in study visits, various trainings, conferences and workshops;
• Enhance policy-making capacities in the Division of Tourism.
Evidence-based policy making
• Developed the comprehensive Industrial Policy Platform;
• Launched 6 sector profiles (reports and snapshots) for competitive and labour-intensive industries. Reports used for investment promotion by KIESA and MTI;
• Produced 3 policy assessments for priority trade and human development topics;
• Launched report on competitiveness “ Natural-born clusters”;
• Ex-post assessment of 3 existing fiscal related policies.
Economic Region South and Mitrovicë/a region:
• Supported SMEs and farmers through provision of market information and several targeted capacity development activities with focus on import substitution and export promotion;
• Enhanced tourism sector in ERS;
• Established two milk collection points and two milk processing facilities;
• Organized matchmaking initiatives between domestic and regional businesses;
• Promoted environmentally friendly technologies and green commodity production.
|Government Of Finland||1,337,738.00 EUR|
|Czech Trust Fund||28,600.00 USD|
Launching of the updated tourism website
On 11 February 2015, Department of Tourism and Economic Development of Prizren municipality organized a launching ceremony to present the updated and upgraded tourism website www.prizren360.com.
Updated website is designed in accordance with the best and up-to-date and presents an important contribution towards development of tourism sector.
Through this website tourists will have an opportunity to get to know better the culture and history of Prizren town and get informed about its potential and touristic offers. Website is compatible with all modern electric equipment and offers important touristic information.
Update of the website is realized in the framework of UNDP’s project “Aid for Trade” financed by the Ministry for Foreign Affairs of Finland.
Radio Kosova, interview with Mensur Bytyqi, Municipal Director for Tourism and Economic Development, Prizren.
TV Besa, TV Opinion and TV Prizreni reported the event on news at 17:00, 20:00 and 22:00
Distribution of 28 milking machines to women farmers in the municipality of Shtërpce/Štrpce
In order to further support the Kosovo’s economic development, support capacity building of the private sector, farmers and other stakeholders, the UNDP “Aid for Trade” project distributed 28 milking machines to women farmers in the municipality of Shtërpcë/Štrpce.
The selection of farmers belonging to communities living in the region was conducted in close cooperation with representatives of the municipality of Shtërpce/Štrpce.
The Deputy Mayor of Shtërpcë/Štrpce, Mr. Beqir Fejzullahu, in his opening remarks acknowledged the contribution of UNDP and the Ministry for Foreign Affairs of Finland in supporting farmers and enhancing the development of livestock in the region.
The UNDP “Aid for Trade” project has previously supported the establishment of milk collection point in the municipality of Shtërpcë.
Workshop on the concept of environmentally friendly technologies and green commodity production
The Aid for Trade project organized the workshop on the concept of environmentally friendly technologies and green commodity production. The workshop was attended by more than 50 businesses located in the Economic Region South, representatives of the Ministry of Environment and Spatial Planning and representatives of local institutions operating in the region.
The aim of the workshop was to assist the private sector and support businesses on their commitment toward high quality production. Such initiative would enable import substitution and provide higher export potential. The workshop addressed important pillars such as environmentally friendly technologies, renewable energy, waste management, and recycling with practical examples.
TV Opinion and TV Prizreni reported the event on news at 17:00, 20:00 and 22:00
Training on International Quality Standards
To inform businesses operating in the Economic Region South about key international quality standards, Aid for Trade project organized a two-day training on management systems ISO 9001, ISO 14001, and HACCP. The training was dedicated for businesses operating in agriculture, food manufacturing, construction materials, wood processing, handicrafts and tourism. This training aimed at suporting businesses in their efforts towards improving their products and services. Applying such standards should enables businesses to expand thier activities, substitute imports, and increase exports by utilizing their resources more efficiently, improving risk management, and increasing customer satisfaction. Part of this initiative is the preparation of the relvant guidelines that will assist businesses with information on these standards and prerequisites for international certification.
TV Opinion and TV Prizreni reported the event on news at 17:00, 20:00 and 22:00
Ex-Post Policy Assessment- “Impact of tax regime on four manufacturing sectors” launched
Aid for Trade project in cooperation with Department of Industry of the Ministry of Trade and Industry launched the ex-post policy assessment report on the impact of tax regime on four manufacturing sectors. The purpose of this policy assessment is to analyze the effect of the tax regime on metal, textile, wood and food processing sectors during the last decade. More specifically, by focusing on strategic manufacturing industries, it attempts to first of all determine – based on the available empirical data - whether the tax regime that was in place over the last couple of years has had a negative, neutral or positive effect on the growth of the manufacturing sector. The study attempts to retroactively assess the impact of the applicable tax rates and the administration of the tax system on the investment climate for the manufacturing sector. It does so by looking at available indicators from a mixture of sources, such as primary data from the Kosovo Tax Administration and the Kosovo Customs, business surveys, other secondary sources and interviews with relevant stakeholders.
Link for reports:
Launching conference of the “Support to the tourism sector in the Economic Region South” successfully organized
Launching conference organized in Prizren gathered municipal representatives, tour operators and civil society operating in Economic Region South. Aid for Trade Project Manager and representatives of the local partner EC Ma Ndryshe informed participants on the project activities and the importance of cooperation among all stakeholders to structure and enrich the tourist offer of the South Region. The overall objective of the project is to enhance economic development by supporting the efforts towards structuring and enriching cultural tourist offer of the region through innovative products and unique services.
TV Besa, TV Opinion and TV Prizreni reported the event on news at 17:00, 20:00 and 22:00
Organization of Matchmaking Services for Specific Industries
The main objectives of this initiative are to induce and create valuable networks between domestic current and potential exporters operating in Economic Region South (municipalities of Prizren, Suharekë/Suva Reka, Rahovec/Orahovac, Malishevë/Mališevo, Mamushë/Mamuša and Dragash/Dragaš) and potential foreign buyers, thus contributing to the improvement of sale channels and reducing the costs of identifying market opportunities as well as improving access to domestic and foreign markets. The project has been implemented by Regional Development Agency (RDA) South in close cooperation with municipal representatives. The following 6 sectors were covered by this project: agriculture production, food processing, artisanal crafts, wood processing, construction materials and cultural tourism.
·48 businesses participated in 2 Fairs;
·208 businesses from Economic Region South participated in 4 B2B Events;
·Approximately 350 businesses from the neighbouring countries took part in B2B Meetings;
·200 businesses from Economic Region South and neighbouring countries participated in the Mega B2B event;
·11 agreements were reached between Kosovo entrepreneurs and their regional counterparts;
First B2B Online portal in South East Europe has been developed ~ 300 entrepreneurs from Albania, Macedonia, Montenegro and Kosovo registered as members. Aim of this Business to Business web portal is to facilitate the needs of business communities in Kosovo, as well as the needs of their regional counterparts. This tool ensures that local producers and exporters are given an opportunity to market their products, find potential buyers and plan their future activities. Each producer has its own Info Page, within this Web Portal. With the help of this tool, entrepreneurs will be able to directly contact their business counterparts.
Click here to download Brochures
Report on Competitiveness: “Natural-Born Clusters” launched
Utilizing a cluster-based approach, the report analyzes various relevant dimensions (opportunities and constraints, skill composition, technology, market access/constraints, linkages within industry or with other industries) of leading export industries founded and managed by local entrepreneurs in Kosovo and provides recommendations to support these businesses and help them move into higher value-added products/activities. Presented representative cluster case studies are driven by entrepreneurs who are using the factor advantages offered by Kosovo.
Report covers three (3) emerging clusters: leather goods and footwear; agribusiness-soft fruits and medical/aromatic plants, as well as the wine cluster and covers eight (8) other potential clusters such as mining industry, decorative stones, forestry, wood furniture and products, tourism, information and communication technology, processed foods and beverages, textiles and apparel.
Report indicates that in order to succeed, formation of cluster initiatives should be a collaborative process involving government at multiple levels, companies, educational and research institutions, and other supporting institutions. Thus, a joint formulation of the policy debate and actions by the public and private stakeholders though a shared understanding of the underlying issues is essential.
By developing a joint platform, a cluster initiative, builds ownership by the stakeholders and is often a crucial starting point to more comprehensive economic reform processes in developing countries. Furthermore, cluster initiatives are perceived as policy catalyst for competitiveness and productivity.
Two trainings on International Business Conduct organized
In its efforts to support capacity building of SMEs and other relevant existing local actors in Economic Region South, with focus on import substitution and export promotion, the Aid for Trade project funded by the Ministry for Foreign Affairs of Finland, organized two trainings on international trade.
Training on designing the export marketing plans organized in Prizren on 10 and 11 October 2014 gathered around 50 participants from local institutions, associations and businesses operating in agriculture, food processing, construction materials, wood processing, handicrafts and tourism.
The objective was to introduce export and marketing related concepts and encourage networking between local participants. Specifically, the aim was to inform the businesses on the requirements of designing export marketing plans and to help them in adjusting their product/service features, their pricing strategy, identify distribution channels as well as introduce tools to promote exports in compliance with and relevant to existing market specificities.
In addition, training for trainers to selected personnel of the partnering local business association was organized. Drafting of a step by step guideline providing recommendations for future use/update of the plan and recommendations on exploring new exporting markets, export expansion and competitiveness is also part of this initiative.
Further, on 24 and 25 October 2014, training on steps towards succesful exporting was organized. Representatives from relevant institutions such as: Customs of Kosovo, Tax Administration, Kosovo Investment and Enterprise Support Agency, municipal representatives, chambers of commerce, transporting agencies and representatives of the banking sector informed participants on their contribution towards enhancing exports. High number of participating businesses indicated the relevance and importance of the topic covered.
Through this training, businesses were provided with concise and thorough information on specific subjects related to international markets. The aim was to present information in a comprehensive and clear manner addressing important segments to assist local businesses in having better understanding of the relevant trade issues such as: marketing and communication in international business, laws and regulation, strategies/organization for international business, differences in culture, value chains in international markets, etc., upon entering international markets.
To provide practical examples on the topics covered, training included a series of videos, case studies and short presentations by key actors in the field of export. Moreover, to further support businesses towards greater exporting, project is supporting the development of a step-by-step guideline, determining all exporting stages.
These activities were implemented in cooperation with three local business associations: Shoqata e Zejtarëve dhe Afaristëve të Prizrenit (SHZAP), ESNAF and SOFRA.
TV Prizreni: https://www.youtube.com/watch?v=0HOg6_e1AH0
TV Prizreni: http://prizreni.tv/filloi-trajnimi-dhe-aftesimi-i-biznesve-ne-prizren-per-eksport-dhe-marketing/
Prizreni Press: http://prizrenpress.com/ekonomi/ne-prizren-mbajt-trajnimi-per-eksporte-te-suksesshme/
Daily newspaper Kosova Sot, Monday, 27 October, page 15
Inauguration of milk collection points in Shtërpce/Štrpce and Reçan/Rečan
In its efforts to improve operational conditions, increase income and improve living standards as well as induce networking between rural communities and farmers, Aid for Trade project in cooperation with the relevant municipal representatives established two milk collection points.
Supporting the establishment of milk collection points and milk processing facilities will not only make the production of better quality and more cost efficient, but will also induce networking between business operators and individuals, and would bring about increased revenues and improved livelihoods.
Delegation from the Finish Ministry for Foreign Affairs and municipal representatives participated in the inauguration event organized on 30 September 2014.
Three policy assessments for priority trade and human development topics launched
UNDP in cooperation with Ministry of Trade and Industry launched the three policy assessments for priority trade and human development topics in the framework of the Aid for Trade project. The project is funded by the Ministry for Foreign Affairs of Finland and in implemented by UNDP in Kosovo with the Ministry of Trade and Industry (MTI) as main partner.
Production of higher value added goods and services, enhancement of human capital and other productivity factors, play a crucial role in increasing competitiveness and export potential of the Kosovo’s economy. Thus, the reports present information on the existing constraints and challenges faced by the current and potential Kosovo’s exporters and provide practical recommendations on overcoming them.
The overall objective of the policy assessments is to assist MTI in their policy making efforts by providing more in-depth knowledge on the selected trade related issues. In addition, the aim is to also shape the public discourse, facilitate an inclusive participation, and guide the decisions taken by other related policy-makers.
Kosova Sot daily newspaper, page 7
Zeri daily, page 17 (business supplement)
Three representatives of Department of Industry participated in a study visit in Slovenia
Three representatives of the Department of Industry within Ministry of Trade and Industry participated in a study visit in Slovenia on 14 and 15 July 2014. The delegation was hosted by the Ministry of Economic Development and Technology. The info story on this visit is accesible at: http://www.mti-ks.org/en-us/Ministry-Trade-and-Industry-activities/Department-of-Industry-DPI-Official-Visit-to-Slovenia-3023-3023.
Representative of Department of Industry participated in the “2014 Venice International Multidisciplinary Academic Summit”
During 7-9 July 2014, through the support of the Aid for Trade project, the Senior Officer of Industrial Development Policies and Projects within Department of Industry participated at the “2014 Venice International Multidisciplinary Academic Summit” presenting a paper on the determinants of trade volume in Kosovo (exports and imports).
Senior Policy Officer of Department of Industry attended the workshop on “Designing an Industrial Policy Toolkit for the Western Balkans and Turkey”
The workshop was organized by the Organization for Economic Cooperation and Development (OECD) on 18-19 June 2014 in Istanbul. The purpose of the workshop was to finalize a toolkit for designing an industrial policy in the Western Balkans and Turkey. The basic purpose of this toolkit was to provide the first key steps to build an effective industrial and toolkit. The participating countries presented their own experiences and challenges that served as an opportunity to highlight the similarities and differences among. For further information on the workshop, please see Annex 3 for the report prepared by the participating representatives.
Policy making representatives from the Department of Industry participated at the 7th International Conference: “An Enterprise Odyssey: Leadership, Innovation and Development for Responsible Economy”
On 4-7 June 2014, two policy making representatives from the Department of Industry participated at the 7th International Conference: “An Enterprise Odyssey: Leadership, Innovation and Development for Responsible Economy”in Zadar, organized by the University of Zagreb. The purpose of attending this conference was to obtain information on management and leadership processes, challenges, successes and projects sustainability, including quality management and corporate social responsibility. Info story on this visit is accesible at: http://www.mti-ks.org/en-us/Ministry-Trade-and-Industry-activities/Representatives-from-the-Department-of-Industry-participate-in-the-7th-International-Conference-An-Enterprise-Odyssey-Leadership-Innovation-and-Development-for-Responsible-Economy-2988-2988
Industrial Policy Information System (IPIS) established
Aid for Trade project supported the Department of Industry within Ministry of Trade and Industry (MTI) to establish the Industrial Policy Information System (IPIS). System enables Department of Industry to follow-up important economic trend developments in Kosovo, analyze trends as well as inform decision-making with regard to both industrial and trade policy. The database established in June 2014 is developed as an information system receiving systematic information on 50 indicators from 5 relevant data collecting institutions (Kosovo Agency of Statistics, Kosovo Business Registration Agency, Central Bank of Kosovo, Customs of Kosovo and Tax Administration of Kosovo).
Baseline assessment report for Economic Region South (ERS) launched
The Baseline assessment report for Economic Region South (ERS) covers six sectors considered to have significant competitive advantage and higher potential to improve Kosovo’s balance of trade in goods and services. It identifies challenges faced by Small and Medium Enterprises (SME’s) of ERS operating in agriculture, food processing, construction materials, wood processing, artisanal crafts and tourism in having better access to market and information necessary for increasing their domestic and export competitiveness. Moreover, it provides a comprehensive assessment of the current situation (nature and scope of operations) and defines the factors influencing the competitiveness of businesses operating in the region. In general, the report reveals that besides some differences in few aspects, businesses operating in different sectors share the same challenges.
TV BESA news at 17:00, 20:00 and 22:00 Daily newspaper Zëri in its supplement on economic issues (page 14)
Study visit to Latvia
Supported by the Aid for Trade project, the policy-making staff of the Department of Industry and the Minister's Cabinet of Ministry of Trade and Industry, conducted a study visit to Latvia on 19-23 May. The purpose of this visit was to become familiar with the process, challenges and successes of the preparation, implementation, monitoring and evaluation of the National Industry of Latvia (SKIL). The visit was considered as an excellent experience and learning opportunity. For more information, please click the following link: http://www.mti-ks.org/en-us/Ministry-Trade-and-Industry-activities/A-study-tour-visit-to-Latvia-2984-2984.
Six sector profile reports successfully launched
Six sector profile reports provide information on the recent developments and identify all the barriers faced by the businesses operating in the following sectors: Wood processing, Food processing and Packaging, Textile, Metal Processing, Tourism and ICT with special focus on Business Process Outsourcing and Customer Support Centres.
Reports: http://www.mti-ks.org/en-us/Publications and
Training on “Results-Based Management: Monitoring and Evaluation” successfully organized
On 17 March 2014, UNDP’s Head of PRGC Team together with Inclusive Growth Programme Associate and Resource Monitoring Associate, organized the training on “Results-Based Management: Monitoring and Evaluation” for selected staff from Ministry of Trade and Industry. The exercise was very interactive and highly appreciated by the MTI participants.
- Project Duration
- April 2012 – June 2015
- Geographic Coverage
- Kosovo wide
- Focus Area
- Inclusive Growth
- Ministry of Trade and Industry, Division of Industrial Policies, Business and farmers operating in Economic Region South and Mitrovicë/a region
- Ministry of Trade and Industry; Ministry of Agriculture, Forestry and Rural Development and other line ministries; Kosovo Investment and Enterprise Support Agency; Economic Region South and Mitrovicë/a Region; Regional Development Agency South; Private Sector Enterprises and farmers; Local Business Associations; Specialized agencies: Kosovo Agency of Statistics, Customs of Kosovo, Tax Administration of Kosovo, Civil society, NGOs, independent think tanks, national and local media
- Teuta PurriniProject Managerteuta.email@example.comPhone: +381 38 240 008 ext. 108