internationalisation

Thirty-nine international recognised names in the field of diplomacy, economics, the arts, sports and research have been appointed members of the recently created Advisory Council of the Public Diplomacy Council of Catalonia (Diplocat). The members of the body, aimed at projecting Catalonia to the world, will take part in it for a period of four years, which can be renewed, and will do so in an altruistic manner. Diplocat decided to set up this body during a plenary session held on Thursday at the Sala Tàpies at the Catalan Government headquarters, Palau de la Generalitat. Some of the most well-known names of the Council are: former US ambassador, Ambler Moss; former Mexican ambassador, Arturo Sarukhan; Representative of the UN Refugee Agency (UNHCR) in Central Europe, Montserrat Feixas; businesswoman Sol Daurella; musicians Jordi Savall and Josep Carreras; Swedish MEP Bodil Valero; philosopher Josep Ramoneda; chef Carme Ruscalleda and footballer Xavi Hernàndez

Exports from companies based in Catalonia reached €48.58 billion during the first 9 months of 2016, a 2.1% increase compared to the same period last year. According to the Spanish Ministry for Economy and Competitiveness, this figure sets a new historic high for Catalonia’s export sector, which has been growing strongly over the last few years. Moreover, in September Catalan exports were worth €5.7 billion, which is the highest figure for this month since the beginning of the historic series, in 2000. The sectors that contributed the most to the positive export figures were the chemical sector, which concentrated 60.8% of total exports, followed by equipment goods and the automotive sector. On the other hand, Catalonia’s trade deficit between January and September rose by 0.5% in comparison to the same period in 2015 and totalled €9.2 billion. 

Radical left pro-independence CUP announced that they will support the head of the Catalan Government in the upcoming vote of confidence that Catalan President, Carles Puigdemont, will submit himself to on the 28th of September. Thus, the Government’s partner in the Parliament doesn’t see Puigdemont’s commitment to the celebration of a unilateral referendum on independence as a condition ‘sine qua non’ to renew their confidence in the President. “Hopefully on the 28th of September a referendum to be held in May or June next year will be called”, stated CUP MP Anna Gabriel this Monday, but added that “if this is not the case, CUP could support the vote of confidence and discuss how to culminate Catalonia’s political process later”. Although Gabriel didn’t consider the referendum as a red line for renewing confidence in Puigdemont, she insisted that this would be the best democratic instrument to move towards Catalonia’s independence. 

Three new Catalan government delegations will be opened during this term of office. According to the Secretary for Foreign Affairs, Jordi Solé, the new delegation in Lisbon will be in full operation “in the following months” while those planned for the Vatican City and Morocco are still pending deployment by the Government. Although these three new delegations have already been appealed by the Spanish Constitutional Court (TC), Solé insisted on the “key role” that these institutions play in Catalonia’s foreign affairs strategy and emphasised the government’s will to “continue deploying Catalonia’s institutional representation in the world”. The Catalan government already has seven delegations abroad, as well as three more projected in the short-term and some others to be opened in the near future.

The Port of Barcelona has been opening new regular routes for container transportation in the last few months, improving the connections with strategic markets in the Americas, Asia, West Africa and the Mediterranean area. An example of this trend is the new route served by MNM African Shipping Line, a company founded this year based in the port of Tanger-Med and working for transport and logistics firms from Morocco and Nigeria. This new line will be using vessels with a 2,500 TEU container capacity to connect the Catalan capital with major ports in North and West Africa such as Tangier, Casablanca, Agadir, Nouakchott, Dakar, Conakry, Lagos, Tema and Abidjan, covering an area with some 300 million people.

This May, Catalan exports increased by 4.5% on the same period in 2014, reaching €5,301.7 million and setting a new record as the best May since 2000 (when comparable data started to be collected), according to figures published on Thursday by the Spanish Ministry for the Economy and Competitiveness. Imports also rose, by 2.7% to €6,331.2 million. The chemical industry accounted for €1,433.9 million, increasing by 7.1%, followed by the car industry, represented €882.5 million and a 6% growth. In contrast, exports in capital goods fell by 7.1% (€892.8 million). In the whole of Spain, exports increased by 1.9%, totalling €21,025 million and breaking a new record for a month of May since the beginning of the historical series in 1971.

Cacaolat – a popular chocolate milkshake produced in Catalonia since 1933 – continues to expand its international presence and has now arrived in Portugal as well. Invented in 1931 by Catalan entrepreneur Joan Viader Roger (already the owner of milk factory Letona), two years later it went on the market, becoming the first industrially manufactured cacao smoothie in the world, the company claims. Notwithstanding that its production was paralysed between 1936 and 1950, it went on to become a very popular product in Catalonia, also thanks to a smart communication strategy. Since 2012, it has belonged to the brewery Damm and soft drink producer Cobega, two of the leading beverage companies that founded the Grupo Cacaolat S.L, and the brand is now going through another sweet moment, after a few years of rough times.

LATAM Airlines Group will operate from El Prat Airport starting in October with a new route running between Barcelona and Sao Paulo through the TAM airline. Three weekly direct flights will be offered, in hopes of reaching 60,000 passengers a year. According to LATAM Airlines CEO, Rodrigo Contreras, the company chose Barcelona because they consider it "a strategic market in Europe," both for the growth of Catalan tourism in Brazil as well as for the Catalan capital as a tourist destination. In this sense, Contreras said Barcelona is the top Spanish destination chosen by Brazilian travellers and the fifth most popular in Europe for business trips and events. The addition of this flight is a continuation of an upward trend for El Prat, which recorded a 4.8% increase in passengers from January through June compared to the same period in 2014, including a 2.7% rise for the month of June.

"Between 2015 and 2016 the Catalan Government will open new Trade & Investment offices in Belgrade, Tehran, Accra, Tel Aviv and Lima and enlarge its San Francisco-based one", Catalan Business Minister, Felip Puig, announced on Monday. Similarly, the Catalan Executive recently launched a new 'technological antenna' in Boston (Massachusetts) and will soon do the same in Panama, Kazakhstan, Kenya, Senegal and Angola, enlarging its network of business promotion offices abroad. The Minister said that in 2014, Catalan companies exported more than 51% of the Catalan Gross Domestic Product and the Executive is set on further enhancing their internationalisation. "Official data seem to confirm that companies with a stronger global presence suffered the economic crisis less and the Government wants to support them", he concluded.

The Catalan capital is Europe's 8^th most attractive city to invest in and the highest-ranked city located in the southern part of the continent, according to the international consultancy firm Ernst & Young. London, Paris, Berlin, Frankfurt, Amsterdam, Brussels and Munich come first in the European ranking and are followed by the Catalan capital, ahead of Madrid, which comes in 10^th position. EY highlights the fact that Barcelona has attracted "enough" international business projects to confirm its place among Europe's top 10 most attractive cities for foreign investment. Catalonia ended 2014 with 108 direct foreign investment projects, a 27% increase on 2013 figures. These projects created 7,089 new jobs. EY stressed that none of the 7 cities ahead of Barcelona were able to transform direct investment into the creation of so many new jobs. London was the closest contender, creating 3,470 jobs, half of that of the Catalan capital.

The Catalan Government has approved its 'Strategic Plan for the External Action 2015-2018', which foresees the opening of additional delegations abroad. The Spokesperson for the Catalan Executive and Minister for the Presidency, Francesc Homs, who is in charge of External Relations, announced that some of these delegations may be opened in the coming weeks. Homs admitted that the Spanish Government may appeal against the new delegations and the plan, as it did with the delegations in Rome and Vienna, and the External Action Law. The Law was approved last November but was already foreseen in the Catalan Statute of Autonomy from 2006. In addition, Catalonia's own external action was validated by the Spanish Constitutional Court in 2010. With the independence debate on the table, the Spanish Government is insisting on reducing the number of delegations and controlling their activities.

Last April, Banc Sabadell filed a takeover offer on 100% of the shares of the UK lender TSB, partially owned by LLoyds. On Monday, the Catalan bank announced it had already exceeded the 75% minimum bid of the takeover offer, reaching 81.23% of TSB shares. However, this percentage is still likely to increase in the upcoming days, since there are 14 remaining days till the end of the takeover's acceptance period. In order to fund the transaction, the Catalan corporation will carry out a €1.61 billion capital increase (€1,607 million). Current shareholders have a preference call in this capital increase. Banc Sabadell, is one of the few banks to emerge stronger from a financial crisis that has redrawn Spain’s banking sector. Unlike many of its Spanish rivals, the bank is in good shape reporting a 50% increase in annual profits at the end of 2014 to €371.7 million. Since 2007, it has doubled in size and is now Spain’s 5^th largest bank. It achieved this mainly through an energetic programme of acquisitions in Spain and abroad. 

As was expected, the Constitutional Court has accepted the Spanish Government's appeal against the Catalan Law on External Action and Relations with the EU, which was approved last November and was already foreseen in the 2006 Catalan Statute of Autonomy. The Court's acceptance of a Spanish Government appeal automatically represents a temporary suspension of the legal measure for an initial 5-month period. The temporary suspension does not mean that the law will ultimately be suspended, but that there are enough reasons to study whether the Catalan law fits within the Constitution or not. According to the Spanish PM Mariano Rajoy, the law goes beyond the Catalan Government's attributions and invades the Spanish Executive's exclusive powers regarding international relations and the direction of Spain's external policy.