Head of Operations of ENNA Transport at the conference organized by Poslovni dnevnik

Zagreb, November 19, 2024 – Leon Dolušić, Head of Operations at ENNA Transport, participated in the "Transport and Logistics" conference organized by Poslovni dnevnik. The conference was held in Zagreb on Tuesday, November 19, 2024.

During the panel discussion titled “Croatia – The Logistics Hub of the Region”, Dolušić announced that the new Rijeka Gateway container terminal would begin operations next year. He described it as the most advanced terminal in the region and one of the most modern in all of Europe. On the other hand, he stressed the importance of developing railway infrastructure.

“A lot is said about the four TEN-T corridors, but no concrete steps have been taken to upgrade infrastructure. The terminal will open as soon as next year, so I sincerely hope the government will respond. Goods, like water, will find their market routes, but the question remains which path they will take,” Dolušić observed.

Joining him on the panel were Dino Mišar, Vice President of the Croatian Employers' Association (HUP) responsible for logistics and distribution coordination; Saša Baleta, Country Manager of RC Zone Croatia; and Damir Šoštarić, Director of the Directorate for EU Funds and Strategic Planning at the Ministry of Maritime Affairs, Transport, and Infrastructure.

All panel participants agreed that a lack of skilled labor is one of the biggest challenges for the sector’s further development. Dolušić highlighted that only one class of locomotive drivers, around 30 individuals, graduates annually.

“Of these, about ten will never work in the railway sector for various reasons. Meanwhile, Croatia has 19 railway operators, meaning each operator can expect just one new locomotive driver per year,” Dolušić explained.

Works on the Lowland Railway from Rijeka to Zagreb Discussed

Damir Šoštarić, Director of the Directorate for EU Funds and Strategic Planning, spoke about the works on the lowland railway from Rijeka to Zagreb.
“The section to Karlovac, in terms of railway development, is currently in the tendering phase. The critical challenge lies in the exit from Karlovac, as a new route to Rijeka begins there. It includes a 12.5-kilometer tunnel and two tunnels of 9.5 kilometers each. This is a demanding section, but based on our experience with motorways, we’ve seen that Croatia has a strong construction sector capable of handling such projects efficiently. The construction period will be challenging for both us and the economy, as the entire section from Karlovac to the Hungarian border will be built ‘track-to-track,’” Šoštarić noted.

Logistics Performance Index Presentation

Ana Falak, Director of Sectoral Associations at the Croatian Employers' Association (HUP), opened with a presentation on the findings of the Logistics Performance Index (LPI). This World Bank tool compares a total of 139 countries, ranking Croatia in 43rd place with a score of 3.3.

“We share the LPI score with Slovenia, which ranks 49th. We outperform Slovenia in entrepreneurial dynamics, transport organization, shipment tracking, and delivery times. However, Slovenia surpasses us in state support through customs systems and infrastructure,” Falak stated.

She pointed out several challenges hindering logistics, including stricter inspections at borders, which have become external EU borders since Croatia joined Schengen, and a shortage of local drivers, which has led to increased hiring of unskilled workers. Additionally, the Trade Act creates problems for the sector by categorizing logistics centers as retail stores and banning their operations on Sundays.

Investments in Warehousing Capacity

The conference highlighted substantial investments in warehousing capacities. Currently, 300,000 square meters of warehouses and logistics centers are under construction, with plans for an additional 1.3 million square meters. At present, Croatia has 1.8 million square meters of warehouse space, meaning capacities are expected to nearly double in the coming years.

Photo credit: Slavko Midžor, Pixsell