JUGOIMPORT-SDPR

broj 27, jun 2009.

4IZDAVA PUBLISHERYUGOIMPORT-SDPRGlavni i odgovorni urednik

6PUT USPEHA ROAD TO SUCCESS ODBRANJENA ODBRAMBENA INDUSTRIJA DEFENDED DEFENSE INDUSTRY

Editor-in-Chief

dr. Nenad MiloradoviZamenik glavnog i odgovornog urednika

Chief

Deputy Editor-in-

9

Aleksandar LijakoviLikovni urednik

Art Director

Marko KopitoviUreivaki odbor

Editorial Board

Zoran Jeli, Mili Jaukovi, Vesna D. Stupar, Bojana Radovanovi, i Vesna I. StuparPrevod

17JUGOIMPORT-SDPR I SISTEM ODBRANE JUGOIMPORT-SDPR AND SERBIAN DEFENCE SYSTEM NOVI MILENIJUM, NOVA ANSA NEW MILLENNIUM, NEW CHANCE

Translation

Odeljenje za prevodilake poslove Translation department of Yugoimport-SDPRPrepress - DTP

Prepress DTP

Marko Kopitovi Marko StojanoviFotografija

25

Photo

Branko Todorovitampa

Printed at

CiceroAdresa redakcije Bulevar umetnosti 2 Beogradtelefoni: (381-11) 222 44 00 222 44 44 faks: (381-11) 222 45 77 222 45 99

Editorial Office2, Bul.umetnosti St Belgrade

40RAZVOJ KAO ADUT DEVELOPMENT AS ASSET ZAKONODAVNO-PRAVNI ASPEKT POSLOVANJA THE LEGAL ASPECT OF THE BUSINESS OPERATION

phone (381-11)222 44 00 222 44 44

48

fax (381-11)222 45 77 222 45 99

e-mail: fdsp@eunet.rs http://www.yugoimport.com IZLOBE ODBRANE DEFENSE EXHIBITIONS

64DRUTVENO ODGOVORNI NA DELU SOCIAL AWARENESS AT WORK

U OVOM BROJU - CONTENTS .

SNAGA INTEGRACIJE

Put uspeha Road to SuccessP ie S tevan Nikevi, generalni direktor Jugoimport S DP R J.P. By S tevan Nikcevic, Director General of Yugoimport S DP R

G odina u kojoj Jugoimport SDPR J.P. slavi ezdeseti The year in which Yugoimport SDPR is celebrating its 60throendan, u poslovnim analima preduzea ostae zabeleena ne samo kao jubilarna, ve kao i jedna od najuspenijih. U toku je realizacija drugog po vrednosti pojedinanog robnog ugovora u istoriji preduzea, to je obezbedilo da Jugoimport SDPR ostvari najbolji poslovni rezultat u poslednjih 18 godina, od raspada SFRJ. Ovakav uspeh daje razlog za optimizam i veru da e se zapoeti rast preduzea nastaviti i u budunosti.

anniversary will be marked in the business annals of the Company not only as a Jubilee Year, but also one of its most successful years. At the moment the Company is executing the second largest single sales contract in its history, which has ensured that Yugoimport SDPR has achieved the best business result in the last 18 years, since the disintegration of the SFRY. Such a success is a reason to be optimistic and to believe that the initial growth of the Company will continue in the future. During the last five years the management strategy of the Yugoimport SDPR business system, which has brought it to the position of the leader among the biggest Serbian exporters in the three first months of 2009, has extended in several directions. A significant step along the road to success was the decisive start of the restructuring process, which was a task assigned by the Government to all state-owned companies. With Yugoimport SDPR it involved the sale of the interest in all the subsidiaries within the system whose business was not related to the core business of the Company. At the same time, the complicated financial and legal cases inherited from the past were addressed. This activity led to the settlement of the relations with numerous business partners, and it also raised the credit-worthiness of the Company with banks. The financial relaxation created space for investment in new armaments and military equipment, which has improved the range of products that could be offered on the ever more demanding and more competitive world market. In order to earn the reputation of a modern system able to respond quickly and adjust to the current trends in the armaments and military equipment business, which Yugoimport SDPR now rightfully enjoys, we had to expand the network of our representative offices and project a stronger presence on some markets where we had not succeeded in achieving the desired results before. Here, I mean primarily the winning over buyers from the countries of the European Union, Africa and Latin America. The crucial moment for the implementation of such an offensive strategy was the Companys decision to expand its basic mission and grow into a business system that integrates all the processes of market research, development, production, promotion and sale of complex weapons and military equipment. Since December 2007, when the formal license was obtained, Yugoimport SDPR has managed to expand its business activity in the production segment as well. Since then ten systems of weapons and military equipment have

U poslednjih pet godina, strategija upravljanja poslovnog sistema Jugoimport SDPR, do liderske pozicije na listi najveih srpskih izvoznika u pr vih tri meseca 2009. godine, imala je nekoliko pravaca. Vaan korak na putu ka uspehu bio je odluan ulazak u proces restruktiraranja, koje je vlada kao zadatak i cilj postavila pred sva javna preduzea. Za Jugoimport SDPR J.P. to je znailo prodaju udela u zavisnim preduzeima u okviru sistema koja nisu bila vezana za osnovnu delatnost. Paralelno sa ovim procesom, reavani su komplikovani finansijski i pravni sluajevi nasleeni iz prolosti. Ova aktivnost je omoguila raiavanje odnosa sa brojnim poslovnim partnerima ali i podigla kreditni rejting preduzea kod banaka. Finansijska relaksacija stvorila je prostor za ulaganje u razvoj novih borbenih sredstava kojim je obogaena gama proizvoda za nastup na sve zahtevnijem i konkurentnijem svetskom tritu. Za reputaciju modernog sistema sposobnog da brzo reaguje i prilagodi se savremenim trendovima u poslovima naoruanja i vojne opreme, koju Jugoimport SDPR J.P. sada zaslueno nosi, morali smo da irimo predstavniku mreu i pojaavamo prisustvo na tritima na kojima nismo imali eljene rezultate. Tu pre svega mislim na pridobijanje kupaca iz zemalja Evropske unije, Afrike i Latinske Amerike. Bitan momenat za ostvarenje ovakakve ofanzivne strategije bila je odluka da preduzee proiri svoju osnovnu misiju i preraste u poslovni sistem koji objedinjuje kompletne procese istraivanja trita, razvoja, proizvodnje, promocije i prodaje sloenih sredstava naoruanja i vojne opreme. Od decembra 2007. godine, kada je dobijena zvanina licenca, Jugoimport SDPR J.P je bio u prili. ci da svoju poslovnu aktivnost proiri i na segment proizvodnje. Od tada je razvijeno i u serijsku proizvodnju uvedeno, to kroz neposrednu realizaciju, to uz asistenciju Jugoimport SDPR, deset sistema naoruanja i vojne opreme.

4

Ponosni smo na sve ove projekte, ali bih ipak izdvojio dva koja imaju veliki trini potencijal. Prvi je razvoj samohodne tophaubice NORA B/52. Drugi je koncept savremenog vienamenskog oklopnog transportera LAZAR, koji su strunjaci Jugoimport SDPR J.P. uspeli da dovedu do faze koja omoguava serijsku proizvodnju. Razume se da ovakav iskorak ne bi bio mogu bez intezivne saradnje i jaanja stratekog partnerstva sa preduzeima iz srpske odbrambene industrije, kao i institucijama i u s t a n o v a m a Ministarstva odbrane. Tu pre svega mislim na Generaltab, Vojnotehniki institut (VTI), Tehniko-opitni centar (TOC), tehnike remonte zavode. Takva pozicija, uz injenicu da u konkurenciji preko stotinu domaih kompanija koje su registrovane za promet naoruanja i vojne opreme jedino Jugoimport SDPR J.P. ima status javnog preduzea, omoguila je da se profiliemo kao integrator nastupa srpske odbrambene industrije na inostranim tritima. Prologodinji izvozni rezultati ovog sektora sugeriu da Jugoimport SDPR JP uspeno sprovodi svoju novu misiju i da zaista predstavlja integriuu snagu domae odbramene industrije. Na kraju, ali ne kao i najmanje vano, eleo bih da primetim da su za sprovoenje svake strategije glavni resurs ljudi. Jugoimport SDPR J.P. tokom svoje duge istorije nikada nije oskudevao u strunjacima, o emu govori i sadanja profesionalna struktura zaposlenih. Ali, konkurencija na svetskom tritu naoruanja i vojne opreme postaje sve otrija, gde se veina aktera nalazi u permanentnoj tenderskoj utakmici u kojoj nema povlaenog poloaja i pozivanja na tradiciju. Zbog svega toga, uslov da Jugoimport SDPR J.P. nastavi svoj put uspeha podrazumeva i dodatna ulaganja u ljudski kapital. Drugim reima, bie neophodno kadrovsko osveavanje zapoljavanjem mladih visokoobrazovanih strunjaka , kao i angaovanje spoljnih eksperata za realizaciju konkretnih projekata. Znam da nas u budunosti oekuju ozbiljni izazovi ali sam uveren da imamo potencijal i integriuu snagu za jo vee domete.

been developed and introduced into serial production either through direct implementation or with the assistance of Yugoimport SDPR. We are proud of these projects, but I would like to single out two which have a great market potential. The first one is the development of the self-propelled Gun-Howitzer NORA B/52. The other is the concept of a modern multi-role armored combat vehicle LAZAR, which has been developed by Yugoimport SDPR experts to the phase that enables its serial production. It goes without saying that such a breakthrough would not have been possible without intensive cooperation and strengthening of the strategic partnership with Serbian defense industry companies and MoD institutions. Here I primarily mean the General Staff, the Military Technical Institute (VTI), the Technical Test Centre (TOC), the technical overhaul depots, etc. Such a position, along with the fact that, among over one hundred domestic companies registered for trade in armament and military equipment, only Yugoimport SDPR has the status of a state-owned company, have enabled us to develop as the integrator of the Serbian defense industry offer on foreign markets. Last-year's export results in this sector suggest that Yugoimport SDPR has been successfully carrying out its mission and that it represents the integrating force of the domestic defense industry. And last, but not least, I would like to point out that people are the main resource for the implementation of any strategy. Yugoimport SDPR has never in its long history lacked experts, and this is proven by the professional structure of its present employees. However, the competition on the world market of armaments and military equipment is becoming stronger and stronger, with most of the participants taking part in a tendering race in which no one enjoys a privileged position or may be privileged by references to their tradition. With regard to all this, additional investment in human resources is also a necessary condition for Yugoimport SDPR to continue its journey on the road of success. In other words, it will be necessary to refresh the personnel by employing young highly-educated experts for the implementation of concrete projects. I am well aware of the serious challenges we are going to encounter in the future, but I am also certain that we have the potential and the integrating force for yet greater achievements.

5

POWER OF INTEGRATION

SNAGA INTEGRACIJE

Odbranjena Defended Defense odbrambena Industry industrijaP ie Dragan utanovac, ministar odbrane R epublike S rbije By Dragan utanovac, Minister of Defense R epublic of S erbia

ada je ve izvesno da je srpska odbrambena industrija izala iz perioda revitalizacije i da je na putu ozbiljne ekspanzije. Uporite za ovakvu optimistiku prognozu je vrsto i nalazi se u egzaktnim pokazateljima. Tokom prole godine, domaa preduzea ostvarila su rekordnu proizvodnju naoruanja i vojne opreme koja je najveim delom plasirana na inostrana trita. Time je odbrambena industrija postala vana izvozna grana srpske ekonomije. Da ovo nije prolazna epizoda ve kontinuirani uzlazni trend, svedoi i podatak da su samo u januaru 2009. godine zakljueni izvozni poslovi u vrednosti od 50 miliona dolara. U najavi su novi aranmani koji ulivaju nadu da e u ovoj poslovnoj godini domaa odbrambena industrija nastaviti uspean prodor na inostranom tritu. Dinamini oporavak ovog sektora domae privrede vaan je ne samo zbog uticaja na platni bilans zemlje, ve ima dodatnu socijalnu i bezbednosnu dimenziju. U vremenu nezapamene svetske recesije kroz koju prolazimo, suvino je obrazlagati znaaj ouvanja svakog produktivnog radnog mesta. S druge strane, stabilizovana produkcija osvojene nove game poizvoda i razvoj sistema naoruanja nove tehnoloke generacije, olakava obnovu i osavremenjivanje sistema odbrane iz domaih izvora i tako reklasira prenapregnuti budet Srbije. Racionalnost nalae da drava svojom aktivnom politikom pomogne razvoj

S

It is now beyond doubt that the Serbian Defense Industry

has come out of the revitalization period and that it is on the way of a serious expansion. The grounds for such an optimistic forecast are solid and based on exact indicators. During the last year, our companies achieved record level in production of armaments and defense equipment, sold mostly on foreign markets. Thus the defense industry became an important export branch of the Serbian economy. That this is not a passing episode but a continuously ascending trend is witnessed by the fact that only in Januar y 2009 the signed contracts amounted to $50 million worth. New arrangements are announced, which offers hope that the domestic defense industry will continue its successful breakthrough into the foreign markets during this business year. Dynamic recover y of this sector of economy is important not only because of its impact on the countr ys balance of payments, but it has an additional social and security dimension. In the time of an unprecedented world recession we are facing, it is superfluous to explain the importance of preserving each productive workplace. On the other hand, stabilized production of the mastered new product range and the development of new technological generation of defense systems facilitate the renewal and modernization of defense systems from domestic sources, thus relaxing the over-strained budget of the Republic of Serbia.

6

svih onih industrijskih grana koja imaju kapacitete za trini uspeh. Zbog hroninog debalansa u spoljnotrgovinskoj razmeni, industrije koje imaju realni izvozni potencijal, u ovom trenutku zasluuju poseban tretman. Da odbrambena industija Srbije spada u tu kategoriju, dokazali su prologodinji poslovni rezultati i rekordni rast prodaje na inostranim tritima. Neke od domaih fabrika naoruanja i vojne opreme ve sada imaju rasprodatu proizvodnju za ovu godinu to dovoljno govori o konkurentskoj sposobnosti ove industrije. Indikativan je primer fabrike Prvi partizan iz Uica koja nema dovoljno kapaciteta da zadovolji svetsku tranju za svojom proizvodnom gamom municije irokog spektra, od kalibra 5,56 za NATO standard, do ostale peadijske i municije za sportsko naoruanje. Osim uspostavljanja stimulativnog makroekonomskog okvira, to se praktino svodi na brigu da devizni kurs i cena novca ne ugroavaju tekue poslovanje, drava ima i dodatne mehanizme kojima moe pomoi razvoj domae odbrambene industrije. Pr vo, da stimulativnom kreditnom politikom podri izvoznu ekspanziju ove industrije. Zatim, da koristei diplomatsko-ekonomsku mreu i spoljnopolitike kontakte na dravnom nivou, iri prostor za plasman poizvoda domae odbrambene industrije na inostranim tritima. Dalje, da kupovinom opreme i naoruanja za sopstvene bezbednosne potrebe, podstie unutranju tranju. Restrikcije na rashodnoj strani srpskog budeta ne ostavljaju prostora da tokom ove godine drava bude znaajan kupac. Meutim, injenica je da na dravnu asistenciju u proboju na inostrana trita, preduzea iz domae odbrambene industrije mogu da raunaju sa mnogo veom izvesnou. Svaka spoljnopolitika aktivnost Ministarstva odbrane uvek ukljuuje i mogunost razvoja vojnoekonomske saradnje to izvesno dovodi do veeg interesovanja i za proizvode nae odbrambene industrije. Jugoimport SDPR J.P kao javno preduzee sa najduom . tradicijom u spoljnotrgovinskom poslovanju, ima specifinu ulogu u okviru domae odbrambene industrije. ezdestogodinja poslovna istorija ovog preduzea imala je vie faza, ali i jednu konstantnu. Jugoimport SDPR J.P. bio je i ostao glavni kohezioni faktor u probijanju domae odbrambene industrije na inostrana trita. Mada sada u trinoj utakmici ima estoku konkurenciju ne samo u inostranim ve i u mnogobrojnim domaim preduzeima srodne delatnosti, nastavlja da bude integriua snaga srpske odbrambene industrije tako to njen nastup na inostrana trita podrava marketinki, komercijalno, a u pojedinim sluajevima i finansijski. S druge strane, orijentacija na sopstvenu proizvodnju, od velikog je znaaja za sistem odbrane jer kompenzuje gubitak onih fabrika koje su ostale van granica Srbije posle raspada bive drave.

Rational thinking implies that the state should assist, by its active policy, the development of all industrial branches having potential to bring market success. Due to a chronic imbalance in the foreign trade, industries with a realistic export potential deserve special treatment at this moment. The fact that the defense industry belongs to that category was proven by the last year business results and the record growth in sales on the foreign markets. Some of the domestic producers of defense equipment have already sold out their current year production, which speaks by itself about the competitiveness of this industrial branch. Indicative example is the factor y Pr vi Partizan from Uzice, which has not sufficient capacity to meet the international demand for its wide range of ammunition, running from cal. 5.56 for NATO standard to other types of small caliber and sports ammunition. In addition to creating a stimulating macroeconomic framework, which practically means not to allow the foreign exchange rate and the price of money to jeopardize current business operations, the state has other mechanisms to assist the development of the domestic defense industry. First, to support export expansion of this industry by a stimulating loan policy. Then, to use its diplomatic-economic network and foreign trade contacts at the government level to widen the area for marketing domestic defense products on foreign markets. Furthermore, to stimulate local demand through procurement of weapons and defense equipment for its own security requirements. Restrictions at the spending side of the Serbian budget do not leave any space for the State to become a significant buyer this year. However, domestic defense companies can count with a much higher certainty on the assistance of the State in their struggle to break into foreign markets. Each international political activity of the Ministry of Defense always involves the possibility of developing military-economic cooperation, which certainly leads to a higher interest in our defense industry products. Yugoimport SDPR PC, as the public company with the longest tradition in foreign trade, has a specific role in the local defense industry. In its 60-year business history, the company has gone through several stages, but with one invariant. Yugoimport SDPR PC was, and has remained the main cohesive factor in the break-through of the domestic defense industry into foreign markets. Although faced with severe market competition, not only by foreign, but also by numerous local companies with similar area of activity, it continues to be the integrating power of the Serbian defense industry, by supporting its presence on foreign markets in marketing, commercial, and sometimes even in financial aspects. On the other side, orientation toward own production is of great importance for our defense system, as it compensates for the loss of the factories that remained beyond the Serbian borders after the dissolution of the former state.

7

POWER OF INTEGRATION

SNAGA INTEGRACIJE

Razvojni projekati Jugoimport SDPR, koji su kompatibilni sa realnim tehnolokim mogunostima metalskog i elektro kompleksa privrede zemlje, pruaju mogunost da se Vojska Srbije snabdeva domaim sloenim sistemima naoruanja koji e po svojim osnovnim performansama i ceni biti konkurentni proizvodima odbrambene industrije iz razvijenih zemalja. Tu konkretno mislim na samohodnu haubicu NORA B/52, vienamensko oklopno vozilo LAZAR, modernizovani tenk M 84, komandno informacioni sistem... Ovi i drugi razvojni projekti predstavljaju veoma interesantne programe potencijalnog opremanja Vojske Srbije, o kojima su u ustanovama sistema odbrane ozbiljno razmilja. Poznato je da je javnom preduzeu Jugoimport SDPR J.P. Uredbom vlade Srbije povereno da obavlja poslove spoljnotrgovinskog prometa naoruanja i vojne opreme za potrebe Ministarstva odbrane. Ve i zbog ove injenice, ali i zbog iskustva i razgranate poslovne mree ovog preduzea, za oekivati da je e, kada to budu dozvolile finansijske mogunosti zemlje, Jugoimport SDPR J.P omogui. ti da se Vojska Srbije na ekonomski najracionalniji nain snabdeva sloenim sredstvima naoruanja.

Development projects of Yugoimport SDPR, compatible with the real technological capabilities of the metalprocessing and electric-complex of the Serbian economy, open up the possibility to supply the Serbian Armed Forces with complex domestic weapon systems, which will be competitive in their basic performance and price to the products of defense industries of developed countries. Here, I very specifically have in mind the self-propelled howitzer NORA B/52, multi-purpose armored vehicle LAZAR, modernized M 84 tank, control-information system... These and other development projects are very interesting for potential equipping of the Serbian Armed Forces, and are the programs that are very seriously considered in our defense institutions. It is well known that, by the Decree of the Government of Serbia, the Public Company Yugoimport SDPR was entrusted with the task of carrying out foreign trade of armaments and defense equipment for the needs of the Ministry of Defense. This fact only, but also the companys experience and a wide business network, indicate that, state finances permitting, Yugoimport SDPR PC will help provide the Armed Forces of Serbia with state-of-the-art weapons under the most rational commercial terms.

8

Jugoimport-SDPR Jugoimport-SDPR i sistem odbrane and Serbian Defence SystemP ie dr. Nenad Miloradovi By S c.D. Nenad Miloradovi

Kompanija JUGOIMPORT-SDPR je od svog osnivanja sastavni deo sistema odbrane i kao takva svoju poslovnu politiku formulie kroz tri osnovne misije: Misija integratora nastupa srpskog odbrambeno-industrijskog kompleksa na svetskom tritu naoruanja i vojne opreme Misija razvoja i proizvodnje sloenih borbenih sistema u ulozi Sistem integratora Misija uvoznika sloenih borbenih sistema za potrebe Ministarstva odbrane Republike Srbije Brojna sopstvena iskustva, kao i iskustva proizvoaa iz industrijski visokorazvijenih zemalja pokazuju da su razvoj i proizvodnja NVO za opremanje sopstvenih oruanih snaga i za potrebe izvoza u tesnoj korelaciji. Prilikom izrade koncepata sredstava NVO iz razvojnih programa Jugoimport-SDPR, uvek se, pored zadovoljavanja projektovanih ili unapred zadatih potreba ino-partnera, ima u vidu i potencijalni znaaj tih s re d s t a v a z a S i s t e m o d b r a n e R e p u b l i ke S r b i j e . Saglasno ustaljenoj praksi, ustanovama Sistema odbrane se o po izradi pr vog predloga koncepta reen j a s re d s t v a N V O i j i s e r a z v o j p re d l a e , v r i prezentacija datog predloga, kao i posle zavretka svake faze razvoja, kada se organizuju prezentacije i funkcionalne demonstracije sredstava za sve nadlene institucije odgovorne za razvoj i opremanje Vojske Srbije. Na nae veliko zadovoljstvo, u suret su nam izali g e n e r a l p o t p u ko v n i k M i l o j e M i l e t i , n a e l n i k Generaltaba Vojske Srbije, brigadni general Danko Jovanovi, naelnik Uprave za odbrambene tehnologije, general-major dr Boidar Forca, naelnik Uprave za planiranje i razvoj Generaltaba Vojske Srbije i pukovnik Srdjan Novakovi, naelnik Uprave za snabdevanje Ministarstva odbrane Republike Srbije, koje smo zamolili da prokomentariu saradnju sa naom kompanijom i razvojne projekte koje trenutno realizujemo. Ovom prilikom im se zahvaljujemo na ljubaznosti i nadamo se da emo i u budue uspeno saraivati.

Since its establishment, Yugoimport-SDPR has been an integral part of the Defense System and accordingly, its business policy has been built around three primar y missions: Integrator of the Serbian Defense-Industrial Complex presentation on the world market of armaments and defense equipment Development and production of complex combat systems in its role of system integrator Importer of complex combat systems for the needs of MoD of the Republic of Serbia According to our own experience and that of highly developed industrial countries, there is close correlation between the development and production of defence items for the needs of own armed forces and the export-oriented development and production. When devising defence equipment concepts within its development programs, Yugoimport-SDPR places its focus on meeting the designed requirements or those assigned to it by foreign partners, but also takes into account potential relevance of such items for the Defence System of the Republic of Serbia. To our great satisfaction, Lt. general Miloje Mileti, Head of GHQ, Brigadier General Danko Jovanovi, Head of Defense Technologies Department, Major General Boidar Forca, S.D., Head of the Department of Planning and Development of the General H e a d q u a r t e r s o f t h e S e r b i a n A r m e d Fo rc e s a n d Colonel Srdjan Novakovic the Head of Procurement Department of the Ministr y of Defence have met our requirement and commented on the cooperation with our company, as well as on the development projects we are currently implementing. We would like to take this opportunity to thank them for their kindness, hoping we will also have a successful cooperation in the future.

9

POWER OF INTEGRATION

SNAGA INTEGRACIJE

General potpukovnik Miloje Mileti, naelnik G

Lt. general Miloje Mileti, Head of GHQ

Kako ocenjujete ulogu JUGOIMPORT-SDPR kao integratora nastupa odbrambene industrije Srbije na svetskom i domaem tritu NVO?Veoma je znaajno da se naa vojna industrija razvija jer e njena tehnoloka obnova povoljno uticati na odbrambenu mo nae zemlje. Poznato je da raspoloiva budetska sredstva nisu dovoljna za razvoj novih, sofisticiranih vrsta naoruanja, kao i za osvajanje njegove proizvodnje. Zbog toga, izvoz predstavlja glavnu ansu za revitalizaciju vojne industrije, to e omoguiti ukupni privredni rast, a samim tim i vea sredstva za modernizaciju Vojske Srbije. Dakle, to je jedna pozitivna sprega. U tom smislu, zadovoljni smo to je zahvaljujui aktivnostima Jugoimport-SDPR i njegovom pozicioniranju na svetskom trizu NVO, porastao obim izvoza i krenula znaajnija obnova vojne industrije. Obnavljaju se stare i pokreu nove tehnoloke linije i razvijaju novi proizvodi od ega e svakako korist imati i naa vojska. U tom kontekstu mogu posebno da istaknem primer projekta kolskog aviona LASTA, koji je potpisivanjem ugovora za izvoz sa irakim Ministarstvom odbrane dobio podrku u smislu dopunskog finansiranja za zavretak razvoja, finansiranja obnove pogona fabrike UTVA i priprema za serijsku proizvodnju. Na taj nain su stvorene pretpostavke za izvoenje serijske proizvodnje aviona LASTA za Vojsku Srbije bez potrebe da se u to ulau sredstva iz ionako skromnog budeta.

How do you see the role of Yugoimport-SDPR Company as integrator of the Serbian Defense Industry presentation on the world and domestic market of armaments and defense equipment?It is of utmost importance that our defense industry keeps developing as its technological renewal will have beneficial effect on our countrys defense capability. We are aware that the available budget is not sufficient for the development of new, sophisticated types of armament or for acquiring their production. That is why export represents the best chance for revitalization of the military industry as it may be expected that it will boost the economy and thus make it possible to allocate more funds to the modernization of MS. It is, therefore, a positive synergy. In this sense, we are satisfied that owing to the activities conducted by Yugoimport-SDPR and to its positioning on the world market of armaments and defense equipment, there is evidence of growth in the volume of our exports and of an intensified renewal of the defense industry. Old technological lines are being restored, new ones are being set up, and new products are being developed which will bring obvious benefits to our armed forces. In this context, I would like to highlight the example of LASTA trainer aircraft project which, after an export contract was signed with the Iraqi MoD, was granted support in terms of additional funding necessary to complete its development, financing the reconstruction of UTVA production facilities and their preparation for series production. Consequently, preconditions have been created to organize series production of LASTA aircraft for the needs of MS, with no need to make further investments using an already modest budget.

JUGOIMPORT-SDPR poslednjih godina ulae velike napore u razvoj i uvoenje u proizvodnju sloenih borbenih sistema. Da li su Vam neki od njih prezentovani i kakvi su Vai utisci?Poznato je da postoji velika disproporcija izmeu potrebe Vojske da se opremi kapitalnim borbenim sistemima i dosadanjih mogunosti odbrambene industrije Srbije da te sisteme realizuje i isporui, pre svega zbog injenice da su

In recent years, Yugoimport-SDPR has been making a lot of efforts to develop complex combat systems and launch their production. Have any of these systems been presented to you and what are your impressions?

10

raspadom SFRJ proizvodni kapaciteti za finaliziranje sloenih borbenih sistema dobrim delom ostali van naih granica. Razvoj sloenih sistema NVO i njihova proizvodnja je veoma kompleksan, dugotrajan i skup proces koji zahteva ne samo finansijska sredstva, ve i kvalitetno upravljanje itavim projektom. U tom smislu, opredeljenje Jugoimport-SDPR da sopstvenim snagama finansira i organizuje razvoj i proizvodnju sloenih sistema NVO je od velike koristi za sistem odbrane Republike Srbije. Predstavnicima G VS i Ministarstva odbrane su u vie navrata prezentovani naoruanje i borbeni sistemi koji se razvijaju u JugoimportSDPR-u. Vaa kompanija je na primeru artiljerijskog sistema NORA pokazala da moe da proizvode jedan savremen borbeni sistem koji je u svojoj klasi u rangu najboljih svetskih reenja, to znai da moe da odgovori i potrebama Vojske Srbije. Siguran sam da u procesu razvoja sloenih borbenih sistema postoji prostor za unapreenje saradnje i uspostavljanje partnerskog odnosa na obostranu korist.

We are all aware of the striking disproportion between the need of armed forces to be equipped with capital defense systems and the possibilities available so far to the Serbian Defense Industry to execute and deliver these systems, primarily due to the fact that after disintegration of SFRY production capacities for finalizing complex combat system have to a great extent stayed out of the country. Development of complex defense systems and their production is a very complicated, time consuming and expensive process that, besides considerable financial means, also requires high quality project management. Consequently, YugoimportSDPR's decision to use its own resources to finance and organize development and production of complex defense systems is highly beneficial for the Serbian Defense System. Representatives of GHQ of MS and of MoD have on several occasions attended presentations of armaments and combat systems being developed by Yugoimport-SDPR. With the example of NORA artillery system, your Company has demonstrated that it is capable of producing a modern combat system that ranks among the best world solutions in its class, which means that it can respond to the needs of the Military of Serbia as well. I am confident that in the process of development of complex combat systems there is room for further promotion of cooperation and establishing of mutually beneficial partnership.

How do you perceive the process of procuring defense equipment through import?Taking account of the total needs of MS for a technical upgrading, it is obvious that a part of armaments and defense equipment must be purchased on foreign markets. It is known that all the countries in transition had to go through a long process of defining their procurements systems in the field of defense equipment in accordance with general legal regulations which prescribe mandatory use of tender procedure for the budget users. Despite an undeniable benefit as to its transparency and cost-effectiveness, this requirement has additionally complicated and slowed down the procurement process, considering that institutional capabilities of the Defense System in this area are not yet properly established. We believe that with the Decree issued by the Government of the Republic of Serbia whereby YugoimportSDPR has been authorized as prime importer of complex combat systems for the needs of MoD, and given your capacities and your long-term experience in foreign trade in armaments and defense equipment, prerequisites have been created to speed up the process of procurement of defense items from abroad, while fully ensuring state control over this process. After all, this was one of the main reasons why Yugoimport-SDPR was founded 60 years ago.

Kako gledate na procese nabavke vojne opreme iz uvoza?Uvaavajui ukupne potrebe Vojske Srbije za tehnikom modernizacijom, evidentno je da jedan deo NVO mora biti nabavljen na stranom tritu. Poznato je da su sve zemlje u tranziciji prole dugotrajan proces definisanja sistema nabavki NVO u skladu sa optom zakonskom regulativom kojom se zahteva da budetski korisnici opremanje vre kroz tenderski proces. Pored neosporne dobiti u vidu transparentnosti i ekonominosti, ovaj zahtev je dodatno usloio i usporio proces nabavke, imajui u vidu i da su institucionalne sposobnosti sistema odbrane u ovoj oblasti nedovoljno izgraene. Mislimo da su se donoenjem uredbe Vlade Republike Srbije, kojom je Jugoimport-SDPR ovlaen za nosioca uvoza sloenih borbenih sistema naoruanja za potrebe Ministarstva odbrane, a uvaavajui vae kapacitete i dugogodinje iskustvo u spoljnotrgovinskom prometu NVO, stvorili preduslovi da se ubrza proces nabavki NVO iz inostranstva uz istovremeno omoguavanje potpune dravne kontrole nad tim procesom. Uostalom, to je bio i razlog zbog koga je Jugoimport-SDPR osnovan pre 60 godina.

11

POWER OF INTEGRATION

SNAGA INTEGRACIJE

Brigadni general Danko Jovanovi, naelnik Uprave za odbrambene tehnologije

Brigadier General Danko Jovanovi, Head of Defense Technologies Department

Gospodine generale, kako gledate na ulogu kompanije JUGOIMPORT-SDPR u svojstvu integratora nastupa srpske odbrambene industrije?Srpska odbrambena industrija ima dugogodinju tradiciju, koja datira intenzivno ve skoro dva veka. Naroito treba napomenuti jaku vazduhoplovnu industriju, a sa tim u vezi poznato je da su se u Srbiji proizvodili pre avioni nego kamioni. Jedinstvena kola raketne tehnike stara je koliko i VTI, znai preko 60 godina. Poslednjih godina, raspadom bive Jugoslavije, prestao je da funkcionie i jedinstveni vojno-industrijski kompleks proizvodnje NVO na jugoslovenskom nivou. Stvaranjem drave Srbije, prestankom sankcija i poveanjem zahteva stranih kupaca, oivljava i proizvodnja, integrie se i razvija istarivako-razvojni potencijal i vojna proizvodnja poinje uspeno da predstavlja znaajnu industrijsku granu. U svemu tome Jugoimport-SDPR ima itekako znaajnu ulogu da sa svojim resursima podri i integrie sve delatnosti koje su vane da bi kvalitetan proizvod iz naih fabrika dospeo do kupca.Osvajanje novih trita, zapoljavanje kapaciteta namenske industrije, osvajanje novih tehnologija, finansiranje istraivako-razvojnih zadataka znaajno je za fabrike ali i za sistem odbrane jer na taj nain modernizujemo i razvijamo proizvodne kapacitete ime kroz kontinuitet proizvodnih procesa i podmlaivanje kadrova uvamo i kapacitete za ratnu proizvodnju. Na taj nain Jugoimport-SDPR kao javno preduzee ima znaajnu ulogu jer kroz svoj dugogodinji rad i stvaranje znaajnih deviznih prihoda doprinosi ouvanju i poboljavanju proizvodnje i stvaranju novih znaajnih proizvoda to je iri aspekt od komercijalnog, kad je sistem odbrane u pitanju. Zbog napred iznetih injenica i znaaja dugogodinjeg iskustva i resursa sa kojima raspolae Jugoimport-SDPR, u potpunosti je opravdano to je kao takvo odreeno kao preduzee od posebnog interesa za dravu.

How do you see the role of Yugoimport-SDPR Company as integrator of the Serbian Defense Industry presentation?The tradition of the Serbian Defense Industr y dates back almost two centuries. A particularly remarkable part has been its powerful aviation industry; it is wellknown that Serbia produced aircraft earlier than trucks. The unique school of rocket technique is as old as VTI, which means over 60 years. Recently, following disintegration of former Yugoslavia, the integral militar y-industrial complex ceased to function on Yugoslav level. Upon creation of the state of Serbia, after the sanctions were lifted and foreign customers increased their demands, the production was revitalized, coupled with integration and development of R&D potential so that militar y production began to represent an important branch of industry. In this entire framework, Yugoimport-SDPR has indeed an important role to play in supporting and integrating with its available resources all the activities that are of relevance for a good quality product from our factories to reach the customer. Acquiring new markets, providing employment to the defense industry capacities, mastering new technologies, financing of R&D development activities is important for the factories but also for the overall defense system as it helps upgrade and develop production capacities; by maintaining continuity of the production processes and renewing personnel we preserve our capacities for defense production. Yugoimport-SDPR, as a public company, has an important role inasmuch as, through many years of its activity and making important hard currency proceeds, it has been contributing to the improvement of production and creation of new important products which is a broader aspect than the commercial one, when it comes to the defense system. In view of all these facts and the importance of Yugoimport-SDPR's long experience and available resources, it is fully legitimate that it has been designated as a company being of special interest for the state.

12

Yugoimport-SDPR makes particular efforts in the processes of development and design of defense systems, in cooperation with our defense industry. Since 2007 it has been licensed to perform these activities. What is your comment?Restructuring of our defense system has led to a decrease of all the potentials, primarily owing to traumatic dismissals of personal, poor financing for many years back, and discord between the needs and the possibilities. Over the last several years, an idea came about in Yugoimport-SDPR to bring together scientific and R&D personnel who conceived and successfully implemented important projects of complex combat systems. The complex combat systems assume integration of several scientific, technological and development resources, in the course of research, development and production. Yugoimport-SDPR materializes its ideas primarily with VTI which celebrated last year its 60th anniversary, but also with other scientific and research institutions and defense industry facilities licensed for the production of defense equipment. For this activity, Yugoimport-SDPR has been granted a license for the production of defense equipment, and intensively associates a military quality control authority to supervise the production and carry out verification of the finished products. It is ver y important and helpful for the Ministr y of Defense that Yugoimport-SDPR Company uses its capacities to acquire production of capital combat systems. Illustrative examples of this statement are: acquiring the production of NORA 155mm SP gun-howitzer, 105 mm upgraded Howitzer, etc. Certification of its production process by the Defense Technologies Department means that Yugoimport-SDPR has fully met the set requirements, in an adequate and professional way, and that it is fully qualified to fulfill the assignments dictated by such complex processes. An important area of Yugoimport-SDPR's work is its involvement in the organization and management or in financing of development projects, which, among other things, gives a more active role to VTI which is reflected in the cooperation it has with your company by working together on new equipments which, owing to the use of modern concepts and new technologies, are competitive on the world market. These newly acquired solutions should be used in creating defense weapons that will be suited to the needs of our defense system with the aim to be introduced in service in MS. The role of Yugoimport-SDPR defined in such a way contributes to an enhancement of technological capabilities, to the mastering of production of new types of defense equipment and to an overall progress of our military industry (with which Yugoimport-SDPR has aligned after starting own production of complex combat systems), which coincides with the objectives of the Defense Technologies Department whose task is to help achieve better and more efficient defense system by continuous management and improvement of technologies.

JUGOIMPORT-SDPR posebne napore ulae u procese razvoja i projektovanja sistema NVO u saradnji sa naom odbrambenom industrijom za ta od 2007. godine ima licencu. Kakvo je vae miljenje?Reorganizacijom sistema odbrane, dolo je do smanjenja svih potencijala, prvenstveno bolnim otputanjem kadrova, slabim finansiranjem godinama unazad, kao i nesklada potreba i mogunosti. U Jugoimport-SDPR tokom nekoliko poslednjih godina rodila se ideja da se okupi nauno istraivaki kadar, koji je osmislio i u velikoj meri uspeo da realizuje znaajne projekte kompleksnih borbenih sistema. Ti sistemi podrazumevaju integraciju vie naunih, tehnolokih i razvojnih resursa, tokom istraivanja, razvoja i proizvodnje. Svoje ideje Jugoimport-SDPR realizuje prvenstveno sa VTI, koji je prole godine slavio 60 godina svog postojanja, ali i sa drugim nauno-istraivakim ustanovama i fabrikama namenske proizvodnje koje imaju dozvolu za proizvodnju NVO. Za navedenu delatnost Jugoimport-SDPR ima dozvolu za proizvodnju NVO, ukljuuje intenzivno vojnu kontrolu kvaliteta, da vri nadzor nad proizvodnjom i verifikaciju gotovih proizvoda. Za Ministarstvo odbrane je vrlo znaajno i korisno da kompanija Jugoimport-SDPR koristi svoje kapacitete za osvajanje proizvodnje kapitalnih borbenih sistema, to na najbolji nain ilustruje osvajanje proizvodnje samohodne haubice 155mm Nora, modernizovane haubice 105 mm i dr. Sertifikovanje procesa proizvodnje od strane Uprave za odbrambene tehnologije znai da je Jugoimport-SDPR potpuno ispunio zahtevane uslove i da je potpuno osposobljen da na adekvatan i profesionalan nain ispuni zadatke koje ovako kompleksni procesi zahtevaju. Takoe je znaajan rad Jugoimport-SDPR na organizaciji i voenju ili finansiranju projekata razvoja, to izmeu ostalog znai i aktivniju ulogu VTI-a koja se ogleda u saradnji sa vaom kompanijom na projektovanju novih sredstava koja su, zbog implementiranja savremenih koncepcija i novih tehnologija, konkurentni na svetskom tritu, i da se tako osvojena nova reenja iskoriste za stvaranje sistema naoruanja koji e odgovarati potrebama naeg sistema odbrane sa ciljem da isti budu uvrteni u naoruanje VS.

13

POWER OF INTEGRATION

SNAGA INTEGRACIJE

Ovako definisana uloga Jugoimport-SDPR doprinosi poveanju tehnolokih mogunosti, osvajanju proizvodnje novih tipova NVO i sveukupnom napretku vojne industrije (u koju se ulaskom u proizvodnju sloenih borbenih sistema svrstao i Jugoimport-SDPR), to jeste cilj Uprave za odbrambene tehnologije koja ima zadatak da kontinuiranim upravljanjem i unapreivanjem iste, doprinosi boljem i efikasnijem sistemu odbrane.

What is your experience, as Head of the Defense Technologies Department, about arming of MS units with complex defense systems from import?The role of Yugoimport-SDPR in the import of combat systems and related services for the needs of MoD of the Republic of Serbia defined by the Government's Decision regulating special-purpose equipment, presumes, among other things, procurement of complex combat systems and related ser vices. Close cooperation between the Defense Technologies Department, Military Depot ''Moma Stanojlovi'' and Yugoimport-SDPR in the project of overhaul and upgrading of MIG 29 aircraft, which is being successfully completed, indicates that it is the proper way to implement such complex projects. Any service provided within maintenance and upgrading of complex combat systems is much more complicated than an individual procurement of finished products. In addition to legal and commercial affairs, contracting of complex international affairs necessitates intensive cooperation and coordination between all participants in the implementation of the work, starting from the foreign supplier of ser vices, user of equipment, Defense Technologies Department, its institutes, customs authorities, up to banks and other factors of relevance for the successful implementation of the work. In this entire context, Yugoimport-SDPR has been assigned a task by the Government of the Republic of Serbia to carry out this important job, with no commission or any other compensation except for the real costs. To the satisfaction of all interested parties, this job has almost been wrapped up.

Gospodine generale, kakvo je Vae iskustvo, kao naelnika Uprave za odbrambene tehnologije, sa opremanjem jedinica VS sloenim sistemima NVO iz uvoza?Uloga Jugoimport-SDPR u uvozu borbenih sistema i usluga vezanih za te sisteme za potrebe Ministarstva odbrane Republike Srbije, definisana Vladinom uredbom o sredstvima posebne namene, podrazumeva, izmeu ostalog, nabavku sloenih borbenih sistema i pripadajuih usluga. Tesna saradnja Uprave za odbrambene tehnologije, VTRZ ''Moma Stanojlovi'' i Jugoimport-SDPR na projektu za remont i modernizaciju aviona MIG 29, koji se uspeno privodi kraju, pokazuje da je to pravi nain za realizaciju ovako sloenih projekata. Svaka usluga na odravanju i modernizaciji sloenih borbenih sistema, daleko je sloenija nego pojedinana nabavka gotovih proizvoda. Pored pravnih i komercijalnih poslova pri ugovaranju ovako sloenih meunarodnih poslova potrebna je i intenzivna saradnja i koordinacija svih uesnika u realizaciji posla, od inostranog isporuioca usluga, korisnika sredstava, Uprave za odbrambene tehnologije, njenih zavoda, carine, banke i drugih faktora bitnih za uspenu realizaciju posla. U svemu tome Jugoimport-SDPR je dobio zadatak od Vlade Republike Srbije da bez provizije, uz nadoknadu samo stvarnih trokova odradi ovaj znaajan posao, to se uspeno privodi kraju na opte zadovoljstvo. General-major dr Boidar Forca, naelnik Uprave za planiranje i razvoj Generaltaba Vojske Srbije

Major General Boidar Forca, S.D., Head of the Department of Planning and Development of the General Headquarters of the Serbian Armed Forces

Gospodine generale, kako gledate na razvojne projekte JUGOIMPORT-SDPR?Uprava za planiranje i razvoj Generaltaba Vojske Srbije, u okviru svojih nadlenosti prati i analizira razvoj naoruanja i opreme u nas i u svetu, pa u tom smislu i projekte kompanije JUGOIMPORT-SDPR, samostalno ili u neposrednoj saradnji s drugim upravama Generaltaba i Ministarstva odbrane. Smatramo da je va aspekt poslovanja u smislu razvoja i proizvodnje sloenih borbenih sistema u ulozi Sistem integratora veoma ozbiljan. Posebno bih pomenuo projekte samohodne top-haubice NORA B/52, vienamenskog oklopnog vozila Lazar, kao i daljinski upravljane borbene stanice, opto-elektronski sistem, komandno-informacioni sistem, koji su razvijeni u okviru projekta modernizacije tenka M 84 AB1. Smatram da posedujete kapacitete za kvalifikaciju ulaska u propisani verifikacioni proces razvoja, to moe rezultovati uvoenjem (navedenih sistema) u naoruanje Vojske Srbije.

General, what is your view of YUGOIMPORT-SDPR's development projects?The Department of Planning and Development of the Serbian Headquarters watches and analyzes development of weapons and defense equipment in the country and abroad, including the projects of YUGOIMPORT-SDPR, either alone or in direct cooperation with other Headquarters departments and the Ministry of Defense. We believe that this aspect of your business activities, i.e. development and production of complex combat systems in the capacity of System Integrator, is very important. Some of them deserve to be particularly stressed: NORA B/52 gun-howitzer, multi-purpose armored vehicle Lazar, remotely controlled combat stations, opto-electronic system, command and information system developed within the framework of the M84 AB1 tank upgrade program. My opinion is that you have the capacity to qualify for entering the prescribed development verification process, which can result in introduction (of the said systems) into service of the Serbian Armed Forces.

14

Gospodine generale, u kojoj meri su nai razvojni projekti kompatibilni sa potrebama Vojske Srbije?Na osnovu analiza konceptualnih karakteristika vaih sredstava, jasno je da su ona ne samo optimizovana za stranog kupca, ve i da ste vodili rauna prilikom koncipiranja karakteristika samih sredstava, o njihovoj moguoj upotrebi u jedinicama Vojske Srbije. Mi smo spremni da svojim sugestijama i predlozima pomognemo da ta sredsva budu u prilagoena potrebama nae Vojske. Poznato je da se Vojska Srbije nalazi u sloenom procesu transformacije. U tako delikatnom trenutku mi smo svesni da nabavka kapitalnih borbenih sistema treba da bude posebno paljivo planirana.

General, to what extent are our development projects compatible with the needs of the Serbian Armed Forces?The analysis of conceptual features of your ordnance has clearly shown that they are not only optimized for foreign customers, but that your design has taken into account the possibility of their use in the Serbian Armed Forces. We are ready to provide suggestions and recommendations that can help customize these weapons to suit the needs of our Armed Forces. You know that the Serbian Military is going through a complex transformation process. At this delicate time, we are aware that the purchase of capital combat systems requires exceptionally careful planning.

What do you think of cooperation with our company?Team work of the Serbian Militar y specialists and your company is highly valuable. As the company with experience which takes active part in the global market, YUGOIMPORT-SDPR and our experts who know the actual needs of the Armed Forces, can have fruitful cooperation in market research, preparations for import deals, proposals regarding development and upgrade of defense equipment for the needs of all arms, and to make them competitive in respect of technology with the most-advanced products worldwide.

Kako ocenjujete saradnju sa naom kompanijom?Ostvarivanje timske saradnje strunjaka iz Vojske Srbije i vae kompanije je od velikog znaaja. JUGOIMPORTSDPR kao kompanija sa aktivnim ueem i iskustvom na svetskom tritu i nai strunjaci upoznati sa realnim potrebama Vojske u mogunosti su da ostvare uspenu saradnju u pogledu istraivanja trita, pripreme za nabavke iz uvoza, predloga kako da se odredjena sredstva NVO razviju i modernizuju za potrebe svih rodova Vojske, a da tehniki i tehnoloki budu konkurentna najsavremenijoj svetskoj ponudi.

Can you make a comment on our latest project the multi-purpose armored vehicle LAZAR?We've had an opportunity to study LAZAR in detail. Since your concept combines high level of ballistic and anti-mine protection, possibility of observation and action of the crew from the vehicle, firepower, as well as high mobility over rugged terrain, with a big personnel capacity and rapid crew embarkment/disembarkment, we believe that this vehicle can compete with powerful sophisticated solutions, and as such, be suitable for the use in Serbian armed forces.

Kako komentariete na najnoviji projekat vienamenskog oklopnog vozila LAZAR?Bili smo u prilici da se detaljno upoznamo sa LAZAR-om. Budui da u svom konceptu kombinujete visok nivo balistike i protiv-minske zatite, mogunost osmatranja i dejstvovanja posade iz vozila, vatrenu mo, ali i visoku pokretljivost na razliitim tekim terenima, uz velike kapacitete prevoenja ljudstva i mogunost njegovog brzog ukrcavanja iskrcavanja, smatramo da ovo vozilo moe da konkurie savremenim svetskim reenjima i, kao takvo, da bude pogodno za upotrebu u jedinicama Vojske Srbije.

15

POWER OF INTEGRATION

SNAGA INTEGRACIJE

Da li Uprava za razvoj i opremanje Generaltba Vojske Srbije smatra jo neke projekte kao perspektivne za potrebe jedinica nae armije?Osim ovih navedenih sredstava, Uprava je vie puta bila upoznata sa nizom aktuelnih projekata, meu koje bih pomenuo: komandno-informacioni sistemi (KIS) nieg taktikog nivoa posebno razvijenog za pojedine rodove oruanih snaga, (kao npr. KIS i SUV za artiljeriju za podrku, KIS peadije, KIS oklopnih jedinica) koji funkcioniu sa upravo nabavljenom komunikacionom opremom firme TALES, zatim zatitna oprema, naoruanje helikoptera kao i raketni sistem ALAS koji po svojoj koncepciji predstavlja avangardu i po taktiko-tehnikim karakteristikama svrstava se rame uz rame sa reenjima tehnoloki najrazvijenijih zemalja sveta. Na je stav da se u uslovima opte i finansijske situacije u zemlji, okreemo domaoj industriji i razvojnim reenjima, a u sluaju nabavki iz inostranstva da prednost imaju oni koji kooperiraju sa naom industrijom. U tom smislu, utakmica je u toku, a za optimalna reenja opremanja Vojske odluivae nadleni nivou. Pukovnik dr Srdjan Novakovi, naelnik Uprave za snabdevanje Ministarstva odbrane Republike Srbije

Are there any other projects that are seen as up-andcoming by the HQ Department of Development and Equipping?Apart from the stated ordnance, the Department has been briefed on a range of current projects, such as: command-information systems (CIS) for lower tactical level, developed for a particular arm of the armed forces, (e.g. CIS and FCS for artillery support, infantry CIS, CIS for armored units) that operate with the newly bought THALES communications equipment, protection equipment, helicopter weapons, and ALAS with its pioneering concept that rubs shoulders with the solutions of the most advanced industries. Under the general and financial circumstances in the country, we have to turn to and focus on indigenous industry and development solutions, or in case of imports to support the ones who are willing to cooperate with our companies. The ball is set rolling, and the best options for equipping the Armed Forces will be sought by competent authorities. Colonel Srdjan Novakovic, Head of the Procurement Department of the Ministry of Defence

Gospodine pukovnie, kakvo je Vae dosadanje iskustvo po pitanju uea JUGOIMPORT-SDPR u procesu nabavke sloenih borbenih sistema, kao na primer MIG-29?Uloga JUGOIMPORT-SDPR u uvozu sloenih borbenih sistema i usluga vezanih za te sisteme za potrebe Ministrastva odbrane Republike Srbije, definisana vladinom Uredbom o sredstvima za posebne namene, podrazumeva, izmeu ostalog realizaciju donacija iz inostranstva, spoljnotrgovinsko poslovanje koje je predmet posebnih ugovora o vojno- tehnikoj saradnji sa vladama i ministarstvima drugih zemalja i nabavku sloenih borbenih sistema i pripadajuih usluga, kao i nabavke i prodaje koje su odlukom ministra odreene kao dravna tajna i kao strogo poverljivo. Pored ovoga, vrlo znaajan segment uea JUGOIMPORT-SDPR u procesu nabavke sloenih borbenih sistema je omoguavanje dobijanja podataka potrebnih za efikasno planiranje tih nabavki i njihovu uspenu realizaciju, to je neophodan uslov za uspeano i kvalitetno opremanje oruanih snaga svake zemlje.

Colonel, what is your experience regarding participation of YUGOIMPORT-SDPR in the purchases of complex combat systems, such as MIG-29?The role of Yugoimport-SDPR in purchasing complex combat systems and related services for the needs of the Ministry of Defense of the Republic of Serbia, defined by the Government's Ordinance on special-purpose goods, includes among other things execution of foreign donations, foreign trade projects that are the subject of separate contracts on military and technical cooperation with the governments and ministries of other countries, purchasing of complex combat systems and related services, as well as sales and purchases declared state secrets or strictly confidential by the Ministers decision. In addition, a ver y important part that YUGOIMPORT-SDPR plays in purchasing complex combat systems is provision of information required for efficient planning and successful implementation of these purchases, which is a prerequisite for successful and high-quality outfitting of armed forces in every country.

16

Novi milenijum, New Millennium, nova ansa New ChanceP iu Vesna D. S tupar Marina Vuksanovi Zoran Hrnjez Aleksandar Lijakovi By Vesna D. S tupar Marina Vuksanovi Zoran Hrnjez Aleksandar Lijakovi

Jugoimport-SDPR na svetskom tritu NVO Tokom 60 godina poslovanja, Jugoimport-SDPR je sve vreme bio aktivan uesnik na svetskom tritu NVO, pratei i prilagoavajui se, kroz transformacije organizacione strukture i nain poslovanja, promenama poslovnog okruenja. Osnovna ciljna trita Jugoimport-SDPR umnogome su definisana poetkom 50-tih godina: politiki-poslovnim okruenjem, tehniko-tehnolokim nivoom odbrambene industrije drave osnivaa SFRJ i kasnije Republike Srbije, prirodom i sadrajem ponude. Iz politikog okruenja poslovanja, proizilazi bazina usmerenost nae kompanije prema zemljama u razvoju tokom 50-tih godina, pri emu prioritet dobijaju zemlje Jugoistone Azije, a neto kasnije i zemlje Bliskog Istoka i Afrike, kao i June Amerike. I pored brojnih i burnih transformacija u politikom okruenju, koje su se odvijale tokom svih 60 godina postojanja nae kompanije, upravo ti prvi ostvareni poslovni rezultati 50-ih, 60-ih i 70-ih godina u znaajnoj meri odreuju nae mesto i znaaj na svetskom tritu koje se projektuje i do dananjih dana. Ta injenica se moe objasniti pre svega izgradnjom odnosa poverenja i meusobnog uvaavanja izmedju Jugoimport-SDPR i kupaca, kao i dravnih institucija nae zemlje i zemlje kupca. U direktnoj saglasnosti sa navedenim je i visok nivo kvaliteta i pouzdanosti proizvoda nae odbrambene industrije, korektan nivo cena i finansijske konstrukcije realizovanih ugovora kao i kvalitetna i dugorona postprodajna podrka svakog izvoznog posla, u smislu snabdevanja rezervnim delovima, organizacije sistema odravanja, obuke i tehnike pomoi, to je sve zajedno znaajno doprinosilo atmosferi visokog uzajamnog poverenja i dobre dugorone poslovne saradnje.

Yugoimport-SDPR on the world market of armaments and military equipment (AME) Throughout all its 60 years of business operation, Yugoimport-SDPR has been an active participant on the world market of armaments and militar y equipment (AME), transforming the organizational structure and changing the business environment. The basic target markets of Yugoimport-SDPR have been mainly predetermined since the beginning of the 50s, by the political-business environment, the technical-technological level of the defense industry of the founder state the SFRY and later of the Republic of Serbia, and by the nature and the contents of the offer. The basic business orientation of our Company towards the developing countries primarily the south-east Asian countries, somewhat later on, the countries of the Middle East, Africa and South America during the 50s was the consequence of the political environment. In spite of numerous transformations of the political environment occurring over the 60 years of the existence of our Company, these first business achievements in the 50s, 60s and 70s significantly determined our position and significance on the world market, as projected until today. This fact can be explained first of all by the building of the relations of trust and mutual respect between Yugoimport-SDPR and customer countries and with the government institutions of our country and of customer countries. In direct concurrence with the above stated is also the level of quality and reliability of the products of our defense industry, fair prices and financial arrangements for the executed contracts, as well as the good quality and long-term after-sales service for each export deal, including the supply of spare parts, the organization of the maintenance sys-

17

POWER OF INTEGRATION

SNAGA INTEGRACIJE

Ovakav kvalitet meusobnih odnosa omoguio je premoavanje perioda tekih kriza koje su nastale tokom raspada SFRJ a svakako ima uticaja i na najnovije poslovne rezultate Jugoimport-SDPR. I danas, u novom milenijumu i pored velikog porasta globalne konkurencije u ponudi sredstava NVO i pojave novih tehnologija, naa kompanija ulae velike napore da se odnosi sa institucijama zemalja klijenata sa kojima postoji tradicionalna saradnja i dalje razvijaju i unapreuju. Pojedinanih primera je mnogo, pri emu je jedan od najupeatljivijih upravo primer saradnje sa Republikom Irak, gde je i pored promena koje su se desile u naoj zemlji i u Republici Irak, tradicija poverenja, ali uz konstantne napore Jugoimport-SDPR, dovela do obnavljanja saradnje u punom obimu. Takoe, ima sluajeva da je Jugoimport-SDPR zahvaljujui svojoj poslovnoj politici koja podrazumeva dugoronu saradnju i prisustvo na odreenim tritima znaajno doprinosio obnavljanju i uvrivanju saradnje dravnih institucija nae zemlje i zemlje partnera. irenje prisustva na ciljnim tritima, danas postiemo primenom marketinko-razvojne strategije koja u osnovi podrazumeva intenzivno uee na meunarodnim izlobama NVO, globalnog, regionalnog i nacionalnog karaktera, kao i direktnim kontaktima sa institucijama zemalja partnera, a uz znaajna ulaganja u razvoj trino atraktivnih proizvoda NVO i obnovu kapaciteta namenske industrije. Sama organizaciona struktura Jugoimport-SDPR danas je prilagoena nastupu na tri osnovne grupacije regiona

tem, training and technical assistance, which all together have significantly contributed to the atmosphere of high mutual trust and good long-term business cooperation. The aforementioned quality of business relations enabled the bridging of the periods of severe crises at the time of the disintegration of the SFRY, and it has certainly influenced the latest business results of Yugoimport-SDPR. Today as well, in the new millennium and in spite of an increase of the global competition in the offer of armaments and military equipment, our Company makes great efforts to further develop and advance the relations with the institution of the customer countries with which we have had good traditional cooperation. There are many individual examples. It is clear that in spite of the changes that have occurred in our country and the Republic of Iraq, the tradition of mutual trust and the constant efforts of Yugoimport-SDPR have led to the restoration of full-scale cooperation. There are also cases where Yugoimport-SDPR is significantly contributing to the restoration and consolidation of cooperation between the government institutions of our country and of the customer country owing to its business policy, which includes long-term cooperation and its presence on certain markets.

18

Azija i Australija Azija i Australija su regioni koji predstavljju najstarije i tradicionalno jedno od najjaih trita Jugoimport-SDPR. Prvi izvozni projekti preduzea ostvareni su 1953. godine sa Burmom (Unija Mijanmar) i obuhvatali su isporuku brdskih topova M48 B1 kal.76 mm, kao i isporuku peadijskog naoruanja. Ovaj posao, kao prvi izvozni uspeh od osnivanja kompanije, znaajan je za nas iz dva razloga: 1. Top M48 B1 kal.76 mm je bio pr vi projekat samostalnog razvoja artiljerijskih sistema u naoj zemlji 2. Ovim poslom je zapoela saradnja sa Burmom (Unijom Mjanmar) koja traje ve punih 56 godina, bez zastoja, a krunisana je realizacijom izvoza samohodnih tophaubica NORA 155/52 mm, to je u tehnoloko-tehnikom smislu najkompleksniji i najznaajniji izvozni posao u poslednje dve decenije. Pored ovih poslova, vezanih za izvoz artiljerijskih sistema, Burmi su poetkom 90-tih godina prodati: kolsko-brobeni avioni G4, iji je remont uspeno realizovan pre nekoliko godina, patrolni brodovi i dr. Pored Unije Mijanmar, u regionu Azije i Australije, izuzetno znaajan izvozni partner je i Indonezija, u kojoj smo takoe prisutni od 50-ih godina do danas. U ovu zemlju smo izvezli artiljerijska orua, municiju, kolski brod i druga sredstva NVO.Na tom smo tritu i danas vrlo aktivni. Jugoimport je bio jedan od osnivaa Drutva prijateljstva Srbije i Indonezije Nusantara, koje ve broji par stotina lanova. Znaajni aktuelni partneri iz ovog regiona, sa kojima je ve ostvarena saradnja ili se oekuje uspostavljanje saradnje u kapitalnim projektima, jesu Malezija, Tajland, Vijetnam, ri lanka, Banglade. Azijski giganti Kina i Indija, spadaju u vrlo znaajna trita gde smo realizovali nekoliko projekata vezanih za transfer tehnologija, od koji se mogu pomenuti izgradnja fabrike baruta u Bandari, Indija i transfer tehnologije za proizvodnju municije 30 mm u Kini.

Nowadays we manage to expand our presence on target markets by the implementation of our marketing-development strategy, which includes intensive participation at international global, regional and national AME shows, through direct contacts with the institutions of partner countries and by investing significantly in the development of market attractive AME products. The organizational structure itself of Yugoimport-SDPR today is adjusted to its presence in the three regional groups: Asia and Australia Asia and Australia is the oldest and the most traditional market of Yugoimport-SDPR. The first export projects of the Company were realized in 1953 with Burma (Union of Myanmar) and they included the delivery of M48 B1 76 mm mountain guns, as well as the delivery of small arms. This deal, as our first export since the establishment of the Company, is significant to us for two reasons: 1. The M48 B1 76 mm mountain gun was the first project resulting from the independent development of artillery systems in our country, 2. With this deal we started our cooperation with Burma (Union of Myanmar), which has been going on for 56 years now, and it reached its high point with the export of NORA 155/52 mm self-propelled gun-howitzers, which is in technological-technical terms the most significant export deal realized so far. Besides these deals, related to exports of artillery systems, Burma has also bought: in the 90s, G4 training light striker aircraft, whose overhaul was successfully completed a few years ago, patrol boats, etc. Indonesia too is a significant exports partner of ours, where we have been present since the 50s. To this country we have exported artillery weapons, ammunition and a training ship.

19

POWER OF INTEGRATION

Bliski i Srednji Istok Saradnja sa zemljama Bliskog i Srednjeg Istoka, poela je da se realizuje posle kontakata sa zemljama Jugoistone Azije, donevi naoj kompaniji najobimnije i najznaajnije ugovore koje je preduzee realizovalo, posebno u oblasti izgradnje objekata odbrambene infrastrukture i prenosa odbrambenih tehnologija. Najznaajniji partner Jugoimport-SDPR, je Republika Irak, sa kojom je krajem 2007. godine potpisan ugovor o isporuci sredstava NVO, koji ukljuuje isporuku kolskih aviona LASTA 95, minobacaa i pripadajue municije, line balistike zatitne opreme, uniformi, pitolja,u vrednosti od 234 miliona USD, ija je uspena realizacija u toku. U meuvremenu, posebna panja se poklanja poseti delegacije Republike Srbije na elu sa Ministarstvom odbrane Republici Irak, kao i druge aktivnosti usmerene prema daljem proirivanju i intenziviranju saradnje sa ovim partnerom, pre svega u oblasti isporuke kapitalni borbenih sistema od kojih su neki ugovori ve potpisani. Sa Kuvajtom, kao bliskoistonim partnerom, imali smo potpisan najznaajniji pojedinani ugovor u istoriji Jugoimport-SDPR, a to je isporuka tenkova M84AB. Poslednjih godina uloeni su veliki napori, na planu razvoja modernizovane verzije tog tenka - M84AB1, koja je prikazana kupcu u kuvajtskoj pustinji. U poslednjem periodu intenzivirali smo saradnju sa UAE, oekuju se znaajni poslovi sa Egiptom i Jordanom, intenzivira se ranije ostvarena saradnja sa Alirom, a meu znaajnim partnerima istie se i Libija , od zemalja podsaharske Afrike, znaajni partneri su Kenija, Nigerija, Gana, Ruanda, Kamerun i Burkina Faso.

We are still active on this market. Yugoimport was one of the founders of the Friendship Society between Serbia and Indonesia. Our significant present partners from this region, with whom we have established or are expecting to establish cooperation in capital projects are: Malaysia, Thailand, Vietnam, Sri Lanka, Banglades. The Asian giants, China and India, are very significant markets for us, where we have realized several projects related to technology transfer, including the construction of the Gun Powder Factory in Bhandara, India, and production of 30 mm ammunition. The Middle East and the Far East Our cooperation with the Middle East and Far East countries has followed cooperation with SE Asian countries, and has brought our country the largest and the most significant contract the Company has carried out, particularly in the area of the construction of defense infrastructure facilities and the transfer of defense technology. The most significant partner of Yugoimport SDPR is the Republic of Iraq, with which we signed a contract by the end of 2007 for delivery of armaments and military equipment (AME), including the delivery of LASTA 95 training aircraft, grenade launchers and accompanying ammunition, personal ballistic protection equipment, uniforms and pistols, to the value of 234 milion USD, which is now being successfully carried out. In the meantime the visit of the delegation of the Republic of Serbia to Iraq, headed by the Minister of Defense, as well as other activities, are intended for the purpose of the further development of a more intensive cooperation with this partner, primarily in the area of the delivery of capital weapon systems, for which some contracts have already been signed.

21

POWER OF INTEGRATION

SNAGA INTEGRACIJE

We signed the most significant single contract in the history of Yugoimport-SDPR with Kuwait, as a Middle East partner, and that was for the delivery of M84AB tanks. During recent years we have been making great efforts in the development of a modernized version of the M84AB1 tank, which has been demonstrated to the Buyer in the Kuwait desert. Over recent years we have intensified our cooperation with the UAE, and we are expecting to conclude significant deals with Egypt and Jordan. The already established cooperation with Algeria is being intensified, and among our significant partners, Libya takes a prominent place. As to the Sub-Saharan African countries, our significant partners are Kenya, Nigeria, Ghana, Rwanda, Cameroon and Burkina Faso. Amerika i Evropa Na tritu Latinske Amerike smo prisutni od 60-ih godina. Ostvarili smo saradnju sa vie zemalja - Peruom, Hondurasom, Salvador i Gvatemalom. Poslednjih godina, u velikoj meri smo prisutni na tritu June Amerike, pre svega u Peruu, Kolumbiji, Boliviji i Brazilu. Poslednjih godina intenzivirana je saradnja sa kompanijama iz zapadne Evrope i iz SAD sa ciljem otvaranja novih trita. To se pre svega odnosi na saradnju sa amerikim partnerima u poslu snabdevanja koalicionih snaga u Avganistanu i Iraku, sredstvima NVO iz redovnih proizvodnih programa srpske odbrambene industrije. Kompanija Jugoimport-SDPR kao Sistem integrator srpske odbrambene industrije i ameriki partner, kao jedna od najveih svetskih kompanija za proizvodnju artiljerijske municije sklopile su partnerski odnos (Jugoimport SDPR je dobio ekskluzivno partnerstvo) u snabdevanju koalicionih snaga u Iraku i Avganistanu sredstvima NVO. Ovo je samo deo angamana nae kompanije sa ovim amerikim partnerom, koji participira u poslu snabdevanja ovih zemalja nestandardnom municijom u naredne tri godine, pod okriljem Vlade SAD. Ameriki partner smatra da e im ekskluzivno partnerstvo sa Jugoimport-SDPR poveati anse za uspeh u dobijanju ovog posla, smatrajui nau kompaniju kao najkonkurentiju u proizvodnji i isporuci mina i granata za minobacae i haubice. Ameriki partner razmatra saradnju sa naom kuom u vie oblasti: Kupovina gotovih proizvoda NVO Modernizacija postojeih sistema NVO Zajednika ulaganja u razvoj i proizvodnju NVO. Saradnja kompanije Jugoimport-SDPR sa ameriki partnerom realizuje se ve petu godinu za redom, isporukom ugovorenih sredstava NVO. S obzirom na veliku potranju za nestandardnom municijom i usled nedostatka kvalitetnih proizvoaa, ameriki partner zaiteresovan je za dugoronu saradnju koja ukljuuje i zajednika ulaganja u proizvodnju ove vrste municije. Poziv upuen kompaniji JugoimportSDPR od strane amerikog partnera, da bude njegov ekskluzivni partner predstavlja znaajno priznanje kvalitetnom poslovanju nae kompanije, a posebno nas raduje injenica sa smo izabrani ispred konkuretskih kompanija iz centralne i istone Evrope (eke, Slovake, Poljske, Maarske, Bugarske i Rumunije). America and Europa As to the markets of Latin America, we have been present there since the 60s, and we have established cooperation with a number of countries, including Peru, Honduras, Salvador and Guatemala. During recent years we have been significantly present in the market of South America, primarily in Peru, Columbia and Brazil. Cooperation with the Western European Countries has been intensified over recent years, with the aim of entering new markets. This refers primarily to cooperation with American partners in supplying the coalition forces in Afghanistan and Iraq with AME from the regular production program of the Serbian defense industry. Yugoimport-SDPR as the systems integrator of the Serbian defense industry and the American partner, as one of the worlds largest companies for production of artillery ammunition, have concluded a partnership agreement ((Yugoimport SDPR has been awarded an exclusive partnership status) for the supply of AME to the coalition forces in Iraq and Afghanistan. This is only a part of the arrangement of our Company with this American partner, who participates in the arrangement for supplying these countries with non-standard ammunition over the three coming years, under the auspices of the US Government. The American partner believes that the exclusive partnership with Yugoimport-SDPR would increase their chances to win this contract (finding YugoimportSDPR the most competitive producer and supplier of mines and grenades for grenade launchers and howitzers). The American partner is considering cooperation with our Company in a number of areas: Purchase of finished AME products, Modernization of the existing AME systems, Joint investments in AME development and production. The cooperation of Yugoimport-SDPR with the American partner has been going on for five successive years now. With regard to the great demand for non-standard ammunition and the lack of quality producers, the American partner is interested in long-term cooperation that will include joint investments in the production of this type of ammunition. The invitation of the American partner to Yugoimport-SDPR to be its exclusive partner is a significant recognition of the quality work of our Company, and we find it particularly gratifying because of the fact that we have been chosen over competing companies from Central and Eastern Europe (Check Republic, Slovakia, Poland, Hungary, Bulgaria and Romania). Agreements

22

Ugovorene su i isporuke municije i naoruanja proizvedenih po istonim standardima za potrebe obuke amerikih oruanih snaga. Projekti koji se trenutno realizuju u saradnji sa ovim firmama, jasan su znak da je kompanija Jugoimport-SDPR povratila ugled i slavu koju je imala do pred raspad SFRJ i da se danas uzima sa respektom, kao siguran i kvalitetan partner, po mnogo emu ispred kompanija iz centralne i istone Evrope, koje su mnogo zastupljenije u ovim poslovima od nas. Sredstva kojim se opremaju koalicijone snage Avganistana i Iraka su bazirane na istonom (ruskom) standardu, koji je bio osnovni standard za opremanje snaga sredstvima NVO u ranijem periodu. Prednosti naih sistema NVO je ta to se odlikuju visokom pouzdanou, savremenim dizajnom i savremenim reenjima, a kompatibilna su sa ranije nabavljenim sredstvima u tim zemljama. Naa sredstva NVO odlikuje pouzdanost, kvalitet i cena, koja je znatno nia nego cena novih sredstava, koja bi se nabavljala od zapadnih partnera. S obzirom da se radi o kupcima koja imaju skromnije vojne budete, nai proizvodi su primamljiviji nego isti ili slini koji bi bili nabavljeni od zapadnih (amerikih) kompanija. U tom smislu, ideja koja nas vodi u tom poslu, nije da samo vrimo prodaju sistema NVO, ve i da vrimo remonte, modernizaciju i prenos tehnologija za modernizaciju i remont sredstava koja se baziraju na ruskoj tehnologiji ili su originalnog ruskog (sovjetskog) porekla. Naa dostignua u modernizaciji sloenih borbenih sredstava NVO pre svega se mogu primeniti na artiljerijska sredstva, borbena i neborbena vozila i na neke komponente sistema PVO. Ovi postupci modernizacije ( pre svega integracija savremenih podsistema) po odnosu cena - kvalitet imaju izvesnu prednost u odnosu na ponudu zapadnih proizvoaa. Cena, koja je u ovom sluaju i po nekoliko puta nia u odnosu na istu koju daju kompanije sa zapada, niim ne umanjuje kvalitet izrade, ta vie, sistemi NVO koji se modernizuju po naim standardima, nadviuju i odreene standarde, koji se prema istim ili slinim sredstvima primenjuju u tim zemljama.

have also been reached for the delivery of ammunition and armaments produced according to the Eastern standards for the training needs of the American armed forces. The current projects that are being executed now in cooperation with these companies are a clear sign that YugoimportSDPR has restored its reputation and the renown attaching to it before the disintegration of the SFRY, and that it is nowadays treated with respect as a reliable and quality partner, in many aspects standing in front of relevant companies from the Central and Eastern Europe, which have a much bigger share in this business than our Company. The armaments and equipment with which the coalition forces in Afghanistan and Iraq are equipped are based on the Eastern (Russian) standard, which used to be the basic standard for equipping their armed forces with AME in the previous period. The advantages of our AME systems are high reliability, modern design state-of-the-art solutions and their compatibility with the previously purchased AME in these countries. Our AME are distinguished by their reliability, quality and prices which are substantially lower than the prices of the new AME obtainable from the Western partners. As these are countries with more limited military budgets, our products are more attractive than the same or similar ones they can buy from Western (American) companies. In this light, our guiding idea in this business is not only to sell AME systems, but also to overhaul and modernize them, as well as the technology transfer for the modernization and overhaul of AME based on Russian technology or originating from Russia (Soviet Union). Our achievements in the modernization of complex combat AME can be applied primarily to artillery weapons, combat and non-combat vehicles and to some components of AA systems. These modernization procedures (primarily the integration of contemporary sub-systems) have the advantage as regards their price-quality ratio over the offer of the Western producers. The prices, which in this case may be several times lower than the prices offered by Western companies, do not affect the quality of workmanship. On the contrary, the AME systems modernized according to our standards are superior to certain standards applied to the same or similar AME in such countries. The marketing strategy of Yugoimport-SDPR is significantly supported simply by the achieved quality of the armaments and military equipment offered, and consequently we are becoming competitive even in the areas in which companies from the Western countries have dominated so far. Of course, our strategy is not to push out our partners from the West, but to conquer, in cooperation with them, new markets and increase* the sales and cooperation with our former market countries. This cooperation with foreign partners is reflected also in the production cooperation, the integration of our products in the complex technological processes of production of AME with partners from the West, and primarily in the production of ammunition, aircraft technology components, etc.

23

POWER OF INTEGRATION

SNAGA INTEGRACIJE

Marketinka strategija Jugoimport-SDPR ogleda se na tako dostignutom kvalitetu ponude, te postajemo konkurentni i u poslovima u kojima su ko-mpanije iz nekih zapadnih zemalja do sada imale apsolutnu dominaciju. Naa strategija nije da istiskujemo partnere sa zapada, ve da u kooperaciji sa njima osvajamo nova trita i da pospeujemo prodaju i saradnju sa zemljama na ranijim tritima. Saradnja sa ino-partnerima ogleda se i u proizvodnoj kooperaciji, integraciji naih proizvoda u sloene tehnoloke procese proizvodnje sredstava NVO sa partnerima sa zapada, a pre svega u proizvodnji municije, komponentama vazduhoplovne tehnoligije i dr. Poslovi sa ino-partnerima ogledaju se i u ueu naih istraivako-razvojnih timova u procesima istraivanja, odnosno razvoja sistema NVO kroz internacionalne projekte razvoja, ali i u poslovima sa internacionalnim korisnikim i proizvodnim timovima. U ovim poslovima najee je angaovan VTI sa svojim laboratorijama i institutima (aerotuneli i druge savremene laboratorije), ali i druge institucije iz civilnog i vojnog sektora. Srpska odbrambena industrija sa svojim razvojnim i proizvodnim kapacitetima, pristupila je razvoju sredstava po takozvanom "NATO" standardu, odnosno proizvodnji sredstava NVO koja se koriste u zemljama lanicama NATO pakta, ali i ostalim odbrambenim partnerima Amerike. Marketinkim probojem prema svetu osvojili smo neka trita Evrope, kao to je sluaj sa Austrijom i Kiprom, sa kojima imamo ve ugovorene izvozne poslove. Tradicija i poverenje Period od 2002. godine do danas, karakteriu vrlo visoki napori naeg preduzea u pogledu maksimalnog intenziviranja prisustva na svim tradicionalnim tritima, kao i proirenje naeg prisustva na novim tritima. Uvoenjem misije Sistem integratora omogueno je da naa kompanija znatno direktnije, efikasnije i agresivnije nastupa na tritima. Pristup poslovanju sa stanovita ove koncepcije, ve je uspeno rezultovao sa nekolicinom znaajnih izvoznih projekata, od kojih je pomenuta samohodna top-haubica Nora B, iji je razvoj upravo zavren za potrebe ino-partnera, sa kojim je ve postojala dugogodinja saradnja. Tu je upravo postignuta uspena integracija dva znaajna aspekta pristupa tritu, negovanjem viegodinje tradicije i poverenja sa jedne strane i ponudom sredstva koja se nalaze u razvoju i iji se koncept bazira na analizi potreba partnera, analizi svetskih trendova u razvoju naoruanja odreene kategorije, imajui u vidu mogunosti odbrambenog kompeksa, odnosno internih i eksternih razvojnoproizvodnih resursa Jugoimport-SDPR. Iskustvo pokazuje da uspeno poslovanje na ciljnim tritima zahteva dugogodinji i sistematski pristup tritima i vrlo veliko marketinko ulaganje, koje ne mora uvek da da pozitivne rezultate, posebno ne posle kratkog vremena. Pojava veoma znaajne konkurencije, te intenzivni razvoj visokih tehnologija, kao i promene u pristupu izbora ponuaa od strane naih tradicionalnih partnera, a koja je prisutna poslednjih godina, takoe oteava nau trinu poziciju i zahteva poveane napore, trokove i strpljenje, to sve zajedno doprinosi stvaranju realne slike globalnog trita NVO.

Our cooperation with foreign partners is reflected in the participation of our research & development teams in AME research & development processes within the international development projects, but also in some projects with international user teams and international production teams. The Military Technical Institute (VTI) is engaged most frequently on these projects with its laboratories and institutes (air tunnels and other up-to-date laboratories), as well as other institutions from the civil and military sectors. The Serbian defense industry, with its development and production capacities, has started the development of AME according to the "NATO" standard, i.e. the production of AME used in NATO member countries, as well as by other American defense partners. We have conquered some European markets as well by the global marketing breakthrough, and primarily in cooperation with Austria and Cyprus, with whom we have concluded contracts for exports. Tradition and trust The period from 2002 until now has been marked by the great efforts of our Company to intensify its presence on all its traditional markets, and to expand our presence into new markets. The introduction of the Systems integrator mission enabled a more direct, more efficient and more aggressive market presence, which is based on the offer of products, primarily complex AME systems which are conceptually adjusted to the projected or real needs of particular markets, and the requirements of our actual partners. This concept of business approach has already resulted in several very significant export projects, including the above mentioned NORA B self-propelled gun-howitzer, whose development has been just completed for the needs of a foreign partner with whom we have had long-time cooperation. Here we have just achieved the successful integration of two significant market approach aspects, through the cultivation of long-term tradition and trust on one hand, and on the other hand, the offer of AME under development whose concept is based on the analysis of the partners needs and the analysis of the world trends in the development of armaments of particular categories, taking into consideration the capability of the defense complex, and the internal and external development and production resources of Yugoimport-SDPR. Our experience shows that successful business operations on target markets require a long-term systematic market approach and significant marketing investments, which need not always give positive results, particularly in the short term. Likewise, a certain discontinuity in business operations on some significant markets can be overcome exclusively by and intensive presence in such markets. The emergence of significant competition, and the intensive development of high technologies, as well as changes as to how suppliers are selected by our traditional partners, which have been present over the recent years, also make our market position more difficult and call for greater effort, expense and patience, which all together contribute to the creation of a realistic picture of the global AME market.

24

RAZVOJ KAO DEVELOPMENT ADUT AS ASSETP iu dr. Nenad Miloradovi Aleksandar Lijakovi By S c.D Nenad Miloradovi Aleksandar Lijakovi

Iako prvobitno koncipirano kao spoljnotrgovinsko preduzee Originally conceived as a foreign trade enterprise whosesa osnovnom delatnou vezanom za obnovu kapaciteta odbrambene industrije Jugoslavije, Jugoimport-SDPR je vrlo brzo orijentisano prema izvozu sredstava NVO. U svojih 60 godina postojanja, preduzee je prolo kroz brojne organizacione i strukturalne transformacije, koje su pratile promene u poslovnom okruenju, ali je uvek zadralo osnovnu poslovnu orijentaciju ka intenzivnom prisustvu na svetskom tritu NVO.

main activity was associated with the renewal of the Yugoslav Defense Industry capacities, Yugoimport-SDPR soon became an export-oriented company. In its 60-year existence, the Company went through many organizational and structural transformations followed by corresponding changes in the business environment, but maintained over the years its basic business approach to be persistently present on the world market of defense equipment. The mission of development and production of complex combat systems in terms of system integrator was established some years ago with the aim to compensate for the absence of a company acting as production integrator of sophisticated combat systems in the Republic of Serbia. It is meant to integrate all the potentials in the field of defense technologies (human resources, R&D and technological capabilities) and focus their efforts on development and production of the most demanded products and most promising for the Serbian industry.

Misija razvoja i proizvodnje sloenih borbenih sistema u ulozi Sistem Integratora ustanovljena je pre nekoliko godina u cilju nadomeivanja nedostatka preduzea integratora - finaliste proizvodnje sloenih borbenih sistema u