Croatia: Government sets up commissions to oversee shipyard privatisation

The Croatian government set up special commissions to oversee the sale of majority stakes in three state-owned shipyards -- Rijeka's "3. maj", Brodogradjevna Industrija Split and Brodotrogir of Trogir. The tender process for the privatisation of all six state-owned shipyard ended on Wednesday with four bids having coming in for the three shipyards. The process will be further monitored by the special commissions comprising representatives of the government, the trade unions and managements of the shipyard, the Croatian Privatisation Fund (HFP), and the Croatian shipbuilding corporation Hrvatska Brodogradnja-Jadranbrod.
"This is definitely a step forward," Prime Minister Jadranka Kosor said, recalling that a lot of effort had been put in the second round of privatisation after the first one failed.
"There were a lot of discussions with the trade unions and managements of the shipyards," she said, thanking the trade unions for their understanding and constructive support. "We're in the final stage of this work. I think we can be pleased," she added.
The prime minister said that plans B or C had been made for the shipyards for which no bids had been submitted.
"I believe that ultimately we will be able to say that shipbuilding is one of the leaders of the Croatian economy," Kosor said.
Economy Minister Djuro Popijac said that the commissions, after the HFP formally examines the bids, would study the bids and participate in all procedures important for the good evaluation of the bids.
Among key elements of the bids Popijac cited proposed restructuring programmes, saying that the Competition Agency would play a key role in assessing the viability of the restructuring programmes, in which it would follow EU criteria.
After the commissions and the agency present their assessments, the Economy Ministry will recommend to the government whether to accept or reject a given bid, the minister said.