Export and Innovation Award 2010P r i d e o f t h e L a t v i a n E c o n o m y

Dear Reader!

A company that has created an innovative product, achieved notewor-thy export results, or offers a product or service that is a serious rival to imported products or services, sets a good example of how the spirit of enterprise is fostered in Latvia. Such examples are compiled in the publication „Pride of the Latvian Economy”.

We are pleased to present to you the winners of the „Export and Innovation Award 2010” competition – companies that have not only achieved notable results in their business sectors but, by participating in the competition, confirmed the spirit of competition so characteristic of the business environment.

Investment and Development Agency of Latvia has been organizing the competition „Export and Innovation Award” for several years in a row. The competition is important in presenting an opportunity to eva-luate and honor the best Latvian enterprises engaged in healthy rivalry. The participants vie for awards in several categories, presenting their achievements, new products that are successfully marketed abroad or high-quality products made for the local market. The companies’ ap-plications for the „Export and Innovation Award” competition prove its importance for Latvian enterprises and its popularity with the general public.

The publication „Pride of the Latvian Economy” was prepared as part of the European Union’s Structural Funds project „Programme for Motivating Innovative Entrepreneurship”. A key objective of the prog-ram is to encourage society to set up new businesses. We hope that the publication will become a source of inspiration and a guide to new, active enterprises, fostering their successful development.

Andris OzolsDirector

Investment and Development Agency of Latvia

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Latvian companies continue to develop and prove themselves on not just Latvian but also the global market. A company that has achieved notable results in export, developed an innovative product or makes products that are considered serious rivals to imported goods sets a good example to encourage the spirit of enterprise in Latvia.

That is why the Ministry of Economics and the state agency Investment and Development Agency of Latvia (LIAA), for already the seventh year, organize the competition „Export and Innovation Award”. By participating, Latvian companies, that have achieved noteworthy results in their business, signify the spirit of competition, which is so characteristic of entrepreneurship. At a time when global competition continues to increase and enterprises face more new challenges in their business, Latvia needs to have its own leaders and businessmen to set an example for others to follow.

In Search of the Pride of the Latvian Economy

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Export and Innovation AwardThe competition is significant in assessing and honouring Latvia’s best enterprises tied in a healthy competition, looking back on their past and recent achievements.

Businessmen vie for awards in several categories, demonstrating their companies’ achievements in the creation of new products demanded abroad, as well as providing the local market with high-quality Latvia-made products.

The competition was originally meant only for exporters, but later the scope of the competition gradually ex- panded. In 2008, the award for the most innovative product was introduced, whereas in 2009, best substitutes for imported products were also evaluated, given that production for the local market and ousting foreign producers is no less important than making products or offering service for exports. In 2010, a new category was introduced for businessmen – industrial design.

In 2011, companies compete in five categories (in the best exporter category in two - large and medium sized com-panies, as well as small companies - groups). In the sixth category, „Leading Exporter”, candidates are nominated by the jury.

In 2010, exactly 100 applications were received for the „Export and Innovation Award” competition, of which 33 qualified for the second round.

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Key Success Factors of Latvian EntrepreneursOne of the success factors of Latvian entrepreneurs is labor force: multi-lingual, well-educated, ready to take on new challenges and possesses a northern European culture and work ethic.

In addition, the history of Latvia equips it with unequalled experience and business knowledge when working with Russia and other CIS countries.

Latvia’s key advantage is its location which provides access to its immediate neighbors: EU, Russia and CIS.

Latvia has three major ice-free international ports, and Riga International Airport is the fastest growing capital city airport in Europe.

Latvia’s corporate income tax rate is among the lowest in Europe at a flat rate of 15%.

Title „Leading Exporter”JSC Grindeks

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JSC Grindeks Pharmaceuticals

JSC Grindeks is the leading pharmaceutical company in the Baltic States. Main fields are research, development, manufacturing and sales of original products, generics and active pharmaceutical ingredients. Altogether, the company pro-duces more than 100 medications. JSC Grindeks specializes in the heart and cardiovascular, CNS and anti-cancer medication therapeutic groups. The com-pany is especially proud of its brand products Mildronate® and Ftorafur®.

The company’s operations are vertically integrated, and the company has everything necessary to perform full production cycle with its own resources, from pharmaceutical research and development to the registration and sale of end-products.

„Grindeks is increasingly involved in the global market as a pharmaceutical company with significant potential for development. Despite the fact that legislation, phar-maceutical registration rules and other requirements differ in each country, we have managed to get through these legislative mazes. Strategic goals must be set for each specific market and, when operating outside of Latvia, the main precondition is – an excellent product.”

JSC Grindeks has four subsidiaries in Latvia, Estonia and Russia and representa-tive offices in 10 countries.

„Over the past five years, Grindeks has invested more than LVL 32 million in development and the expansion of production capacity. A pharmaceutical production facility meeting the highest international standards has been developed, new plants and units opened. We have the necessary base for introducing new products with a high added value, for expanding our activities in other countries, and for becoming a pharmaceutical company of European-wide significance.”

Kirovs Lipmans, JSC Grindeks Council Chairman„Participating in the Export and Innovation Award 2010 competition, we proved, to ourselves in the first place, that we are one of the most export-capable companies in Latvia. Our company is oriented toward development, we want to demonstrate and inform others of what we do, as well as look better when compared to companies from other sectors of the Latvian national economy. It is valuable experience that helps us move toward attaining our goals.”

Website: www.grindeks.lvTurnover (2010): LVL 65.1 millionEmployees (2010): 900Export countries: Russia and other CIS countries, Lithuania, Estonia, Germany, the Netherlands, USA, Japan etc.

Category „Best Exporter” in the Group of Large and Medium-sized Companies1st place – JSC Valmieras stikla šķiedra for fiberglass and fiberglass products

2nd place – JSC Balticovo for eggs, shelled eggs, egg powder, liquid egg products, day-old chicks, hatching eggs

3rd place – Company TTS Avio Ltd. for computerized production lines for industry, conveyor systems, mechanization of transportation process

Recognition –

JSC Brīvais vilnis for canned fish products – sprats, cod liver, canned fried fish and other canned fish products

NP Foods Ltd. for JSC Gutta and JSC Laima products

S.B.C. Ltd. for design of metal constructions

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Founded in 1963, JSC Valmieras stikla šķiedra is one of the largest chemical and textile industry enterprises in the Baltic countries, specializing in the produc-tion of fiberglass and the textile processing thereof. The company’s exports go to more than 30 countries all over the world; 96 percent of the company’s out-put is exported. The company’s products comply with international standards, and they are meant for various industries, for instance, energy, automotive industry, aviation and space industry, chemical industry, construction, electronics, shipbuilding and production of sports equipment.

„The main precondition for product development and upgrades is the customer’s needs, which is why we actively work with every customer to understand the particular details of each product needed. Based on the customer’s wants, the Development Service prepares technological regulations for making the product. Parallel to this, work with internal development goals is under way, analyzing and solving customers’ proposals and the reasons for customers’ claims.”

Fiberglass nettings, which are used in outside thermal insulation of buildings and in building renovation, is the company’s best-selling product in Latvia, EU and CIS countries. Textured fabrics and glass fiber mats, which are used for acoustic and heat insulation, also take an important place in the company’s line of products, as well as fiberglass yarns that are used in the production of wall-paper, grindstones, brake linings and others, and fabrics with high SiO2 content and silica mats, which are used in space industry and production of protective clothing.

„The company employs almost 800 workers and pur- sues a special personnel development program with the goal of improving workers’ qualifications and directing everyone’s contribution toward implementing a joint strategy.”

JSC Valmieras stikla šķiedra Fiberglass and fiberglass products

Andris Oskars Brutāns, JSC Valmieras stikla šķiedra Head of the Board„Customer trust is especially valuable at a time of economic hardship, and JSC Valmieras stikla šķiedra is proud to have partners with which it has developed trustworthy cooperation in the course of many years.”

Website: www.vss.lvTurnover (2010): LVL 40.1 millionEmployees (2010): 780Export countries: EU and CIS countries, USA, Canada, Japan

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JSC Balticovo is the largest egg and egg product manufacturer in Northern Europe with experience of more than thirty years, that offers modern, high-quality and healthy products and services. The company produces more than 500 million eggs per year. The company’s products are used in food industry, culinary/catering business or are sold at retail stores.

„The company’s success is thanks to a vigorous, target-oriented, creative and innovative team that constantly works on further improvements, making use of the lat-est production technologies.”

The quality of products is controlled according to strict veterinary requirements at every production stage. JSC Balticovo has its own accredited laboratory that controls the quality of raw materials and end-products. This is confirmed by the certificates awarded to the company: HACCP, ISO 9001:2000, ISO 22000:2005, IFS Food and BRC Food.

In the future, the company plans to set up a laboratory for testing raw materials meant for a given product, thus fostering cooperation with custom-ers and improving the quality of end-products.

„We are quite innovative. Unfortunately, sometimes Lat-vian companies do not have the ability to transform an idea into a business upgrade and deliver it to our end-consumers.”

The company regularly holds brainstorming sessions to test new ideas’ long term viability.

JSC Balticovo Eggs, shelled eggs, egg powder, liquid egg products, day-old chicks, hatching eggs

Arnis Veinbergs, JSC Balticovo Head of the Board„We, Latvian producers, can successfully market our products abroad, be it Poland or Scandinavia, regardless of the well-developed protectionism in these countries. We work on finding new markets methodologically, offering certified products of world-level quality at competitive prices. We try to focus on customers who appreciate quality and are prepared to pay for it.”

Website: www.balticovo.lvTurnover (2010): LVL 21.2 millionEmployees (2010): 170Export countries: The largest ones – Germany, Poland, Romania, Italy, Lithuania, Estonia, Finland, Denmark, Slovakia, the Chech Republic

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TTS-Avio is one of the largest companies in Latvia engaged in metalworking, production of various metal constructions and mechanical processing of metal products. The company designs and manufactures non-standard equipment, conveyor systems and other metal products and components according to cus-tomers’ demands.

Company TTS-Avio (Technological Transport Systems) was established in 1993. The company’s key principle and target is to serve as a subcontractor according to customers’ demands. The company employs an extensive range of metalwork-ing equipment in a facility of 13,000 square meters in area.

„The popular belief that production business in Latvia is impossible, or that it is being purposefully hampered by Latvian as well as EU authorities, is a myth. Production has always been and will be the foundation of the Latvian economy.”

Approximately 90 percent of the company’s products are exported abroad. The company has developed extensive cooperation with Finnish and German con-sumers, but there also are several major projects being implemented together with consumers from Russia and even Asian countries.

For expansion into new markets, the Latvian company mostly relies on direct contacts with customers, as well as metalworking fairs and indirect marketing – finding new customers via the existing ones.

„The company’s choice of export markets was mostly de-termined by the regional principle, because we do not employ serial production and have to have very close contact with our customers.”

The company’s experience of subcontracting allows it to react very quickly to every inquiry, manufacturing various kinds – including non-standard – equip-ment, components and other products.

The last major order was for a Russian company at Bratsk Airport: the company designed and manufactured two conveyors, of which one was 400 meters long.

Company TTS-Avio Ltd.Automated lines for engineering industry, belt conveyor systems, transport process mechanization

Juris Legzdiņš, Company TTS-Avio Ltd. President„TTS-Avio firmly believes that we are respected in our business sector, and we are able to present ourselves well both in Latvia and on international markets.”

Website: www.tts-avio.lv Turnover (2010): LVL 2.1 millionEmployees (2010): 120 Export countries: Scandinavian countries, Germany, UK and Russia

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Fish processing company JSC Brīvais vilnis was established in Salacgriva in 1992, when a local fishermen’s collective farm was transformed into a joint-stock company. The company specializes in canned fish – sprats, roasted canned fish, cod liver etc.

The company makes over 70 products altogether, which are exported to more than 30 countries. In 2010, the company produced 22.4 million units of 144 various canned fish products, including 10.8 million units of canned sprats. The company sold 22.2 million cans last year for LVL 7 million.

„Now our aim is to continue upgrading the company pursuant to the European Union’s quality requirements, reduce production costs and optimize management so as to successfully compete and consolidate our posi- tions on the canned fish market.”

The goal of the company’s management is to increase profit via consistent product quality, encourage customers’ loyalty and prevent any deviations in product quality.

Product development and upgrades are based on three levels. The first level is the idea – the result of good teamwork aimed at efficient use of available resources. The second level is product development: implementation of the idea and analysis of the results, so as to avoid any unwanted deviations in the end-product quality. Finally, the third level is bringing the new product to the market, which entails market studies to determine the most suitable packag-ing, project sales volume and target audiences.

„It is an overblown myth that Latvia has no production potential.”

JSC Brīvais vilnis Canned fish products – sprats, cod liver, canned fried fish and other canned fish products

Arnolds Babris, JSC Brīvais vilnis Head of the Board„We, as a food producer, must take into consideration foreign markets’ traditions, ethnic aspects and cuisine preferences. That is why much work has to go into studying these markets. An idea is worth implementing if experts from at least three foreign markets confirm that a given product has a future.”

Website: www.brivaisvilnis.lvTurnover (2010): LVL 7.1 millionEmployees (2010): 400Export countries: Russia, Germany, Ukraine, Kazakhstan, Moldova, Turkmenistan, the Czech Republic, Lithuania, USA, Slovakia, Estonia, Belarus, Israel, Romania, Poland, Azerbaijan, Georgia and others

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Food company management and development, trade and logistical services company NP Foods Ltd. was established in 2009. The decision on establishment of the company was taken at the end of 2008 with the aim to further consolidate the positions of Laima and Gutta on the Baltic markets as well as to reduce the number of overlapping routine functions of these two companies and improve their procurement and sales processes.

At the moment, NP Foods heads the management and development of the following Latvian companies: JSC Laima, JSC Staburadze, JSC Gutta, Staburadzes konditoreja Ltd., Saldumu tirdzniecība Ltd.

„At a time of market recession, the goal of improving pro-fitability was successfully achieved.”

The company’s most important conclusion from the development and marketing of chocolate products on the local and foreign markets is that a united product line is the solution that presents a much better chance of attracting consumer at-tention to a given brand. For instance, product line Lukss has the same design for all products in the line, from a chocolate bar to a box of assorted chocolates. The design is gaining popularity, and the advantages thereof have been recognized by customers in, for instance, Russia, the Czech Republic and Slovakia.

On the other hand, JSC Gutta has recently achieved a significant increase in the market segment of juices and drinking water. Gutta’s share of Latvia’s total juice segment stands at 20 percent, while the market share of drinking water Everest has increased 3 percent to 10 percent in a year’s time, whereas in the ice tea seg-ment Gutta is currently in third place.

In 2010, NP Foods began exporting to Australia and Norway, and expanded ex-port to Cyprus and Bulgaria.

„The greatest myth about innovations is that it must be something huge. Not so – the world’s most profitable in-novations are minor things that we hardly notice as we go about our daily lives. In our line of business, innovations usually deal with the introduction of a new product.”

NP Foods management notes that the most popular stereotype about entre-preneurship is similar – a business must be very large and require major invest-ment.

NP Foods Ltd.JSC Gutta and JSC Laima products

Juris Jonaitis, NP Foods Ltd. Head of the Board„The so-called crisis period has taught us a good lesson and opened up new opportunities in business. First, consumers have realized that buying products made by local residents is closely linked with employment and the economic situation in Latvia. Second, we all have seen how the illusion about living a beautiful life with borrowed money can shatter. And third, the number of those who understand that a business must work for the benefit of the entire community continues to increase.”

Website: www.npfoods.lvTurnover (2010): LVL 53.3 millionEmployees (2010): 100Export countries: The company’s exports go to more than 25 countries altogether

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S.B.C. Ltd specializes in the design, manufacture and installation of metal struc-tures, offering customers a full service cycle – from design to supply and instal-lation of structures at a construction site. The company’s manufacturing unit launched work in 2008.

„S.B.C. Ltd. has developed into a large company em-ploying qualified experts and engineers. Our designers are provided with the latest computers and software, therefore we can offer our customers quality and inno-vative technical solutions.”

The majority of the company’s products are exported and installed in Norway, Sweden, Denmark, Finland and Estonia. The company’s goal in 2010 was to in-crease export by 25 percent, which was successfully achieved.

In 2010, only 18 percent of the company’s products were sold in Latvia. 66 per-cent went to Norway, 5 percent to Iceland, 4 percent to Slovakia, 3 percent to Sweden and Estonia each, and 1 percent to Denmark. The company has been working consistently on expansion into foreign markets, because in 2009 yet, 35 percent of the company’s products were sold in Latvia and 65 percent abroad. Back in 2008, the respective figures were 52 percent and 48 percent.

„Although the situation in the Latvian construction sector is complicated, thanks to foreign orders, S.B.C. has continued production, increased turnover and created new jobs.”

The structures supplied by S.B.C. are used abroad in the construction of kinder-gartens, schools, hotels, arenas and other facilities. At the moment, twenty to thirty such facilities are being built. The latest such construction projects include Kalmar Stadium in Sweden and Bella Hotel in Copenhagen.

Thanks to increasing turnover, in 2008 S.B.C. built a facility manufacturing metal structures; investments in the construction of the new facility and the equip-ment and technologies thereof cost LVL 5.2 million. The facility’s output was projected at 500 tons a month, but at the moment the facility’s monthly out-put is 800 tons already. It may be increased another 200 tons to 1,000 tons a month.

S.B.C. Ltd.Design of metal constructions

Juris Reimanis, S.B.C. Ltd. Member of the Board„There are so many orders that we cannot produce everything by ourselves, which is why part of the orders we entrust to four other Latvian subcontractors.”

Website: www.siasbc.lvTurnover (2010): LVL 10 millionEmployees (2010): 135Export countries: Norway, Sweden, Denmark, Finland, Estonia, Iceland, Slovakia

Category „Best Exporter” in the Group of Small–sized Companies1st place – Biosan Ltd. for laboratory equipment

2nd place – Brabantia Latvia Ltd. for ironing boards

3rd place – UnitedPress Tipogrāfija Ltd. for magazine, catalogue and book printing

Recognition –

Ameri Ltd. for knitwear

Attirance Ltd. for cosmetic products

Bucher Schoerling Baltic Ltd. for truck–mounted and compact road sweepers

Saldus Pārtikas kombināts Ltd. for milk candy Gotiņa

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The company Biosan has been producing modern equipment for biotechno-logical and biomedical laboratories for more than 18 years. The company’s tech-nically and functionally innovative equipment and instruments are designed to prepare samples for further analysis in genomics, proteomics and cellomics.

„Initially, the project is drafted and confirmed. It includes development, testing, marketing, certification, approbation and production plans. Then the company se-lects specialists for the project’s implementation and the funding is channeled.”

Biosan has a permanent team of constructors, which operates as a develop-ment department. The specialist leads a team of project coordinator, me- chanical engineer, designer, electronics engineer and IT experts.

„There are many good and venturous people and com-panies in Latvia. Everybody is looking for their own niche. Latvia has everything – from space and helicop-ter technology diagnostics to medicine, biotechnology, engineering projects, original furniture, toys, fiberglass, and canned sprats.”

Each year, Biosan participates with its production at various specialized in-ternational exhibitions and missions. The company also meets with its distri- butors, carries out market research, and advertises its production. Biosan ad-mits that it is difficult to find decent specialists in Latvia – most of them are already employed.

Vasilijs Bankovskis, Biosan Ltd. President„We never tackle any tasks that cannot be accomplished. Our ideas are generated by the market. We listen to it and compare what we heard with our concepts about trends. If there is a match, then we assess the potential project and our ability to be the first ones to introduce it on the market.”

Website: www.biosan.lvTurnover (2010): LVL 3.3 millionNumber of employees (2010): 89Export countries: Austria, Belgium, France, Germany, UK, Sweden, Norway, China, Japan, Singapore, Australia, Argentina, Brazil, Russia, African countries

Biosan Ltd.Laboratory equipment

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Brabantia is one of the oldest and most respected European companies mak-ing quality innovative household goods. The company was established as Van Elderen & Co in 1919 in Aalst, a town in North Brabant, the Netherlands. Brabantia subsidiary in Latvia, Brabantia Latvia Ltd., launched operations in 2008; the company’s Latvian plant is in Talsi Region’s Ģibuļi County.

„Company Brabantia has close ties with Latvia – one of Brabantia’s five production facilities is located here, which at the moment continues expansion and creation of new jobs. We are proud that labels on Brabantia prod-ucts read: „Made in Latvia”.”

The company makes ironing boards and laundry dryers in Latvia. The company has one more facility, in Holland, that makes ironing boards, but in the near future the Talsi plant will become the only one in Europe to produce them.

„We try to also support regional companies. We appre- ciate that they are less expensive, but the speed and quality of supplies are also important.”

Households are the main target audience for the products made in Latvia. In the company’s opinion, its products do not have to be inexpensive – they do cost more than what is the average price for such products, but they are cer-tainly better quality.

All products made in Latvia are shipped to Brabantia’s Central Europe ware-house, from which they are exported elsewhere in the European Union, includ-ing Latvia, as well as to the United States, South American and Asian countries.

Brabantia Latvia Ltd.Ironing boards

Georgijs Buklovskis, Director of Brabantia Latvia Ltd. plant„The demand curves continue going up. When the crisis began, people started to spend more time at home, realizing that they should pay more attention to their environments. Of course, the demand dropped in all countries after the crisis began, and Latvia was no exception, but now there is definitely an upward trend. People appreciate the ten-year warranty and the quality of our products.”

Website: www.brabantia.comTurnover (2010): LVL 2.7 millionEmployees (2010): 45 Export countries: UK, Belgium, the Netherlands, France, USA and others

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UnitedPress Tipogrāfija was established by Hermans Jakuška in 1992; at that time the company’s name was Indriķis – it was one of the first private printing houses in the country. In 2003, the company began cooperation with the print-ing mediator company ConceptMedia, headed by Artūrs Broks. In 2007, a deci-sion was made on further development of the printing house, and the com-pany adopted a new brand, UnitedPress. The printing house Indriķis changed its name to UnitedPress Tipogrāfija and set sight on the Scandinavian market.

In 2010, UnitedPress Tipogrāfija Ltd. acquired several bankrupt Norwegian printing houses: Havel Trykkeri and Stens Trykkeri Dillinga.

The company specializes in printing magazines and catalogs, and does most of its business in Norway, Sweden and Germany. The local market accounts for just 5 percent of the company’s total output.

„Our basic business is printing thematic and monthly magazines, advertising newspapers and other commer-cial materials. The company offers full service spectrum, from preparing the draft to color selection, printing, all post-print processing and delivery.”

UnitedPress Tipogrāfija Ltd. employs modern equipment that ensures speedy performance. Over the past three years, the printing house’s turnover has in-creased several times over, turnover projection for 2011 is LVL 3.2 million.

„At the base of it all, there is work, responsibility for the team, ability to make the right decisions. You have to know what is going on in the market, and use it to your advantage.”

New ideas are generated at the company by analyzing market developments, assessing equipment prices and opportunities for securing new orders. The company relies on various activities, including personal contacts and advertis-ing, to expand into new markets.

Hermans Jakuška, UnitedPress Tipogrāfija Ltd. Head of the Board„Participation in the LIAA-organized competition Export and Innovation Award 2010 generated publicity for our company, and our work was evaluated on a national scale. Since we mostly export our products, few people knew about us.”

Website: www.unitedpress.lv Turnover (2010): LVL 2.2 millionEmployees (2010): 50Export countries: Norway, Sweden, Germany

UnitedPress Tipogrāfija Ltd.Magazine, catalogue and book printing

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Ameri Ltd.Knitwear

Ginta Amerika, Ameri Ltd. Director„If the state has declared that it needs companies engaged in export, we expect the state to support us, and not just with words. Companies need the state to act as a lobby for expansion into new markets, as well as clear and foreseeable tax policy, tax breaks and support for the attraction of current assets. Latvian light industry, which historically has accumulated major experience and employs professional workers, must be included in the list of the country’s priority production sectors.”

Website: www.ameri.lvTurnover (2010): LVL 93,000Employees (2010): 8Export counties: Germany, Norway, Denmark, Japan

Knitwear company Ameri Ltd. was established in 2006. The company manufac-tures exclusive original and elegant design clothing, putting much emphasis on natural and healthy materials and environmental protection. Quality materi-als from merino wool, rayon, mohair, cashmere wool, linen, cotton and others are used in the making of Ameri collections.

„Our first export experience – „conquering” Japan – was the hardest to date: the distance, the language, a dif-ferent mentality and culture, plus, of course, maximum requirements on quality and terms. Nevertheless, we work on expanding into new markets non-stop. After Japan, Germany and Scandinavia we are now looking at the Russian and Kazakh markets, which we believe have very good prospects.”

The company, which also collaborates with foreign designers, creates at least two knitwear collections each year: fall/winter and spring/summer collections. 100 percent natural materials are used in the making of the collections. In the development of its products, Ameri Ltd. uses market research findings, follows the latest fashion trends as well as developments in innovation and technol-ogy, ecological materials and designs.

„Successful expansion into foreign markets requires the company to have a clear development vision, market research findings from the given country, a well-formu-lated offer, 100 percent quality and current assets.”

For the expansion purposes, Ameri Ltd. participates in trade missions in coop-eration with Investment and Development Agency of Latvia, and concludes contracts with modeling agencies. Export countries are selected based on solvent demand in a given country and Ameri Ltd products’ compliance with the country’s customer mentality, climate and other factors.

New ideas within the company are generated following visits to internation-al professional fashion shows and presentations. The company also closely watches data on the demand. Only after various factors are thoroughly weighed, a decision is taken whether to continue work on a prototype or not.

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Attirance Ltd.Cosmetic products

Atis Liepiņš, Attirance Ltd. Head of the Board „Attirance rapidly developed due to the company’s focus on those export markets, where the cosmetics industry was not affected by the crisis. The people, also in developing countries, are becoming more demanding towards themselves. The cosmetics industry used to consider women as its main consumers, however, the body care products’ industry is currently experiencing diversification and men, teenagers and children have begun to use the production more often.”

Website: www.attirance.comTurnover (2010): LVL 973,000Number of employees (2010): 42 Export countries: UAE, USA, Azerbaijan, Belarus, Denmark, RSA, France, Greece, Georgia, Hong Kong, Canada, China, Cyprus etc.

The natural cosmetics manufacturer Attirance was established in 2003. Since then, the company has developed more than 260 unique products. Export ac-counts for 91 percent of the company’s total sales volume.

„We develop constantly, seeking new ways to share the most valuable ingredients, and create ever-new and pure products. It is important that our products are of high quality in order to meet and exceed all of our customers’ needs and expectations. Innovation plays important role in development of the company.”

Attirance offers various bath, shower, body, hair and facial care product lines, as well as products for children and travel sizes.

Since 2007, Attirance continues to develop a worldwide franchise system, seeking new partners to launch the company’s stores. Attirance has opened 30 franchise stores in Germany, France, Switzerland, Italy, Turkey, Belarus, Lebanon, Mongolia, Russia, Estonia, Finland, Canada and South Africa.

„Attirance’s franchise system ensures successful retail by offering its partners beneficial cooperation terms, high quality production, support and training, and guarantees profitability in a relatively short period. Attirance has developed a program that has already prov-en itself and helped the company’s customers to success- fully develop their businesses.”

Even though there is a strong competition, the cosmetics industry and its prod-ucts’ consumption continues to grow worldwide. Attirance believes that it is im-portant to use high quality natural ingredients and follow market trends.

It is also important to present the company’s products to its potential coopera-tion partners to attract them and inform the public. Therefore, Attirance carefully prepares and participates in international exhibitions, organise direct visits and are active in events sponsorship. The company also regularly posts its advertise-ments on various international product sales websites, franchise portals, exhibi-tion catalogues and magazines.

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Bucher Schoerling Baltic Ltd. assembles and exports truck-mounted and com-pact sweepers and their parts. The company started its business in 2005 and launched production of tanks and other components for high–class road and airport-runway cleaning equipment. The company exports its entire production.

The company’s successful development is based on support from Ventspils City Council and Ventspils Freeport Authority, highly motivated employees with ex-cellent language skills, beneficial production terms, high flexibility, reduced pro-duction costs and ability to meet quality demands.

„Many qualified specialists are currently out of jobs, and therefore the company does not experience any prob-lems in finding skilled labor force.”

The company also finds new employees at Ventspils Vocational Secondary School. They just need to be taught German. The company is open to highly-motivated employees.

Bucher Schoerling Baltic is a subsidiary of the Swiss concern Bucher Industries AG. Bucher Schoerling Baltic sells its production to the parent company, which distributes it throughout the world.

„Bucher Industries AG is the world’s largest producer of road and airport sweepers with export markets in Europe, the United States, Australia and Asia. The company’s turn-over amounts to EUR 12 billion (LVL 8.4 billion) per year. The company has 7,000 employees all around the world.“

Bucher Schoerling Baltic managed to attract funding from the EU structural funds within the framework of Investment and Development Agency’s of Latvia program Investments with High Added Value and implemented its investment project. The company opened its new production facility on July 1, 2011. There-fore the company currently has two technologically-connected production facili-ties in Ventspils with more than 100 employees in total.

The company’s new production facility covers an area of 2,754 square meters. The company also invested in cutting-edge production technology – created new production lines for welding, assembling, testing and installed metal work-ing equipment and the necessary IT.

Bucher Schoerling Baltic Ltd.Truck-mounted and compact road sweepers

Niklaus Huser, Bucher Schoerling Baltic Ltd. Head of the Board„The company attracted funding from the EU structural funds and invested LVL 3.6 million in construction of its new production facility in Ventspils.”

Website: www.bucherschoerling.comTurnover (2010): LVL 9.8 millionNumber of employees (2010):more than 100Export countries: EU, USA, Australia and Asia

OptiFant 8000

Die innovative Lösung für anspruchsvolle Einsätze

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Saldus Pārtikas kombināts has been producing sweets for the past 50 years. Since 1960, the company also produces milk candies Gotiņa. Initially, Saldus Pārtikas kombināts produced only small quantities of candies and only for the local market. However, as time passed, the company’s assortment grew and such ingredients as nuts, raisins, sunflower seeds were added to the candies.

At the moment, the company offers 18 types of dairy candies, as well as mar-malades, toffees and sherbets that are all made from natural ingredients and fresh milk.

„In order to grow, Saldus Pārtikas kombināts contin-ues to develop new products and wrapping designs. Its candies are wrapped in original wrapping paper and packed in special cardboard and metal boxes. They can be given as presents on special occasions or brought home by tourists as souvenirs. The company also partici-pates in various food product exhibitions, contests and fairs, organizes tours at its production unit, and conducts market research.”

Saldus Pārtikas kombināts currently exports half of its production. The second half is sold on the local market. Saldus Pārtikas kombināts believes that by do-ing so it ensures jobs for its employees, facilitates the company’s development and improves Latvia’s export indicators.

„Saldus Pārtikas kombināts exports its candies mostly to the countries where its production is well-known and causes nostalgic emotions among former Latvian residents – Ireland, Russia, Azerbaijan, Estonia and Lithuania.”

Saldus Pārtikas kombināts Ltd.Milk candy Gotiņa

Līga Grīsle, Saldus Pārtikas kombināts Ltd. Member of the Board„Export is one of the few possibilities for business development; therefore the company attempts to strengthen its position on new markets. Russia and the CIS are currently the most perspective markets, where our production is well-known and in demand. This year’s challenge will be to strengthen our positions in Russia, where the company actively signed agreements and sought new customers last year.”

Website: www.saldusgotina.lvTurnover (2010): LVL 1 million Number of employees (2010): 84Export countries: Lithuania, Estonia, USA, Ireland, Russia, Azerbaijan

Category „Innovative Product”1st place – Baltic Scientific Instruments Ltd. for XRF analyzer CON-X 02

2nd place – Autonams Ltd. for vehicle security system Skybrake Touch / VLC 5501

3rd place – Jaunpagasts Plus Ltd. for Baltiprot–50 – palletized protein concentrate for animal nutrition

Recognition –

Riga Center for Experimental Science Aviatest LNK Ltd. for certification testing stand for SuperJet 100 aircraft

E Forma Ltd. for interactive Latvian reading primer

Telemetrica Ltd. for street-lighting management system citylight.net

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The company Baltic Scientific Instruments was established in 1994 on the basis of Riga Research and Development Institute for Radio-Isotope Apparatus (RNI-IRP). The company specializes in nuclear power engineering and produces ana-lyzers, detectors, spectrometers, as well as radiation monitors that are highly appreciated in many sectors, including medicine, space research, mining and various scientific research activities.

The company’s new product, XRF analyzer CON-X 02, is designed to identify oxides and other molecules and measure their concentration.

„Such international giants as Sibelco, Magnitogorsk Iron and Steel Works and Outokumpu have already pur- chased CON-X 02, recognizing its high quality, reliability and competitiveness on the international market.”

The company’s devices are used by various organizations worldwide, includ-ing the International Atomic Energy Agency and the European Space Agency. The Latvian State Assay Supervision Inspectorate also uses devices produced by Baltic Scientific Instruments. The company’s analyzer can measure the com-position of precious metals and coins in just a few minutes.

„The company develops and improves its production by carrying out market research and analyzing its com- petitors’ technical solutions.”

Baltic Scientific Instruments thoroughly studies the demand on the market and generates new ideas. The company economically assesses each of them and then decides on their implementation. Only then the company’s Research and Development Department launches the production its new product or devel-opment of already existing one.

Baltic Scientific Instruments Ltd. XRF analyzer CON-X 02

Vladimirs Gostilo, Baltic Scientific Instruments Ltd. Head of the Board „With our participation in Export and Innovation Award 2010, we have received public assessment of our achievements in innovation and development of high tech devices. We also had the opportunity to become acquainted with other innovative Latvian companies.”

Website: www.bsi.lvTurnover (2010): LVL 1.5 millionNumber of employees (2010): 57 Export countries: Germany, France, Spain, Portugal, Italy, Austria, Finland, Belgium, Poland, the Czech Republic, UK, Sweden, USA, Belarus, Russia, Ukraine, India

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Established in 1994, the Latvian company Autonams invents, develops and produces wireless technologies. The company’s main fields of operation are protection of vehicles and homes, fleet management, resource control, and security.

„Due to long-term cooperation with the LIAA, Autonams currently exports 90 percent of its production to the EU and CIS countries. The company uses various means to conquer new markets. It participates in exhibitions, trade missions and makes use of already-established contacts. In addition, Autonams also maintains relations with its current partners, and receives their recommendations for potential cooperation in a neighboured state or region.”

For each product that Autonams produces, the company chooses those coun-tries where it would be demanded the most. When the product is introduced and delivered to Autonams partners on a regular basis, the company also looks for other countries where it could be presented.

Autonams believes that when developing and exporting its production, the company must set unrealistic goals – and reach them. The company regularly organizes brainstorming sessions on the necessity of new products and con-sults with its partners and distributors about future trends.

„The company’s employees are also able to share their thoughts and ideas within the framework of The Bank of Ideas.”

By participating in the Export and Innovation Award, Autonams has proven its products’ innovation and quality for the third consecutive year. The new vehicle security system Skybrake Touch / VLC-5501 is the company’s first anti-theft de-vice for agricultural, forestry and road-construction machinery.

Autonams Ltd. Vehicle security system Skybrake Touch / VLC 5501

Edvīns Panders, Autonams Ltd. Co-owner and Member of the Board „The greatest myth is that there are no companies in Latvia capable of producing innovative products for everyday use. When people think about innovative products and services, they usually consider foreign producers instead of local ones. Somehow, the opinion still prevails that foreign companies’ production is more qualitative.”

Website: www.autonams.lv; www.skybrake.com Turnover (2010): LVL 1.07 millionNumber of employees (2010): 35Export countries: Russia, Lithuania, Estonia, Ukraine, Slovakia, Hungary, Germany, France, Spain, UK

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The company Jaunpagasts Plus was established in 1997 on the basis of ethanol plants in Iecava and Jaunpagasts. The company’s equipment and technology was gradually modernized, investing EUR 8 million in reconstruction of its plant in Iecava, which concluded in 2010. The company’s plant in Jaunpagasts will also undergo a similar reconstruction.

Jaunpagasts Plus focuses on production of bio-ethanol and high quality food ethanol. The company also produces a unique bio-ethanol by-product – Baltiprot-50, which is a protein concentrate for animal nutrition.

Jaunpagasts Plus also produces alcoholic beverages – liquor, brandy and gin from high quality Latvian food-grade grain. The water used in the production process comes from a 100-meter-deep water bore at the company’s production site.

„It is necessary to define clear goals and know how to present yourself. We are certain that our product is unique; however, sometimes, we are too reluctant to praise ourselves. We are no longer afraid to do so, we have become more confident, ambitious and more com-petitive.”

Jaunpagasts Plus currently continues to implement its new project – Jaunpagasts Plus terminal, which includes construction of a new bio-ethanol plant, cargo handling infrastructure and a universal terminal at the Freeport of Riga. The company plans to invest a total of EUR 112 million in the project.

„It is a myth that only a small group of scientists deal with innovations. Anyone with knowledge and creativity can also come up with them.”

Jaunpagasts Plus Ltd.Baltiprot–50 – palletized protein concentrate for animal nutrition

Donāts Vaitaitis, Jaunpagasts Plus Ltd. Member of the Board „Businessmen sometimes make the biggest mistake and give up their goals, plans and ideas. Even though this year was difficult for the com-pany, we continue to work on the new bio-ethanol plant project. Our strength lies in the company’s team with a clear vision of future, profe-ssionalism and creative approach.”

Website: www.jpplus.lvTurnover (2010): LVL 14.3 millionNumber of employees (2010): 196Export countries: Poland, Germany, Lithuania

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Riga Center for Experimental Science Aviatest LNK Ltd. is the only laboratory in the Baltic States that specializes in the full-scale testing of planes and helicop-ters. The company has many years of experience in certification testing of new aviation equipment, monitored by scientists with PhD degrees and highly qual-ified specialists. The test programs utilize multi-channel loading systems, state-of-the-art hydraulic equipment, data acquisition and processing systems.

„The company’s 2,000 square-meter laboratory employs more than 30 people, including scientists with PhD degrees, highly qualified engineers and technical spe-cialists.”

Aviatest LNK conducts static, fatigue and dynamic tests on planes, helicopters and their components, as well as various tests on airport equipment (hydraulic jacks, torque wrenches, etc.).

The company has all the necessary certificates for efficient operation in Latvia, the European Union, and Russia.

At the moment, Aviatest LNK tests various aviation equipment – Tu-334 air-craft’s take-off and landing gear, Mi-26 helicopter’s fuselage, and new samples and components of the regional Russian jet – Sukhoj Superjet 100.

„Riga Center for Experimental Science Aviatest LNK uses state-of-the-art equipment and original testing ap- proaches which allow the company to successfully com-pete on the European aviation market.”

The company chooses to export its services to those countries where it already has long-term cooperation partners.

For example, Aviatest LNK cooperates with the Italian company Agusta Westland, which is among the world’s largest helicopter producers. Agusta Westland orders tests on separate parts or nodes. At the same time, Aviatest LNK also participates in various scientific research on helicopter components’ fatigue resistance.

RCES Aviatest LNK Ltd.Certification testing stand for SuperJet 10 aircraft

Aleksandrs Sorokins, Riga Center for Experimental Science Aviatest LNK Ltd. Head of the Board „The company has gained the most from its participation in development of the regional Superjet 100 aircraft. The leading EU countries participate in this project; and it is a great honour to represent Latvia.”

Website: www.aviatest.lvTurnover (2010): LVL 759,000Number of employees (2010): 34Export countries: USA, Russia, Italy, France and Germany

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Established in 1996, E Forma is a dynamic and versatile visual communications agency.

„We have many years of experience in development and planning of marketing communications strategies and advertising campaigns. The company offers creative so-lutions and perfect graphic design, ensuring complete advertising production cycle and producing.”

E Forma has developed graphic standards for Latvia’s leading companies, cre-ating interactive websites, designing companies and banks’ annual reports, developing document management system modules for financial transactions and introducing electronic publishing.

„E Forma has also developed an interactive Latvian reading primer for iPhone and iPad users. This applica-tion introduces users to letters, develops their recog- nition and ability to understand the correlation be- tween letters and words. It also improves memory, at-tention span and perception.”

The primer contains cheerful, interactive illustrations of each letter, pronuncia-tion, and also provides words that start with the same letter. It will help learn the Latvian alphabet quickly and easily.

The company also offers several other studies aid applications, including the interactive „I want to be smart!” which is designed for six-year-old children to prepare them for school. It can also be successfully used by all pre-school and primary school children, and children with special needs to learn basic skills in math, natural sciences, native language and social sciences.

E Forma Ltd.Interactive Latvian reading primer

Ardis Markss, E Forma Ltd. Member of the Board „Our ideas, professionalism and technology serve our clients and cooperation partners’ goals and interests. The projects’ visual solutions are well-thought-out and developed according to the analysis of market and business strategy.”

Website: www.dizains.lv Turnover (2010): LVL 171,000Number of employees (2010): 10Export countries: Estonia, Lithuania etc.

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Established in 2009, the company Telemetrica produces telematic (telecommu-nications + IT) products for street-lighting management and control. The com-pany’s product, centralized street-lighting management system citylight.net, allows remote control and management of street-lighting from any computer with an Internet connection.

„citylight.net will switch on and off city illumination with split-second precision, adjusting to sunsets and sunrises. The system also offers various other opportunities that can reduce street-lighting costs up to 30 percent.”

Citylight.net is managed with the help of GPRS mobile data service. This type of data transmission ensures that the customer is able to monitor the entire lighting system online and effectively react in case of street light defects or necessary changes in city-lighting regime. In addition, citylight.net provides detailed data on consumption of electricity, helping to locate illegal network connections.

„Telemetrica came up with the innovative idea to cre-ate citylight.net, which would correspond to the possi- bilities and needs of all Latvian cities and towns, after re- search on the current infrastructure of street-lighting. The company established that there was not any system that would be suitable for the country’s cities and towns, since the street-lighting networks were of different age and quality. The company points out that citylight.net can be used in various street-lighting networks.”

Telemetrica also focuses on new markets. In June 2011, the company estab-lished new contacts during the world’s second largest lighting exhibition in Guangzhou. Next year, the company will also take part in the sector’s exhi- bition in Frankfurt.

Telemetrica Ltd.Street-lighting management system citylight.net

Jānis Derkusovs, Telemetrica Ltd. Project Manager „We attempt to ensure qualitative and economic use of street-lighting. As a result, Latvian cities and towns are able to cut their expenses, and the amount of carbon dioxide emissions is reduced as well.” Website: www.citylight.netTurnover (2010): LVL 67,000Number of employees (2010): 10 Export countries: Estonia, Russia, Egypt, China

Category „Import Substitute Product”1st place – Silvanols Ltd. for Faringo Spray medicament

2nd place – Dinex Latvia Ltd. for exaust systems and components for vehicles

3rd place – DARO Cēsis Ltd. for Hortus candied fruits

Recognition –

Baltās naktis Ltd. for bran pillows DIKļI

BIKO-LAT Ltd. for wood pellets

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Established in 1994, Silvanols Ltd. is a modern pharmaceuticals company that meets the requirements of good manufacturing practice and specializes in production of gels, capsules, balsams, syrups and liquids. The company also provides laboratory services.

„The company constantly expands and attracts new spe-cialists every year. The new employees are professional and determined; and Silvanols highly appreciates their ability to introduce new solutions in the company’s development.” Silvanols has also set up a group of specialists who research and develop the company’s new products. The group can simultaneously work on 20-30 projects. At the same time, the company also assesses each product’s medical, economic and financial benefit. If it is obvious that the product will not be effective, a new one is developed. If the new product is effective and it works, it becomes clear that its production and introduction on the market is worthwhile. Silvanols points out that the company’s cooperation with various scientific institutions and medical professionals in Latvia has proven to be the most successful cornerstone in development of new products.

Silvanols has special task forces with specialists from the company’s various de-partments to plan every stage in the product’s development.

Due to its participation in the Export and Innovation Award 2010, the company has gained confidence that it can produce products that are not only effec-tive and competitive, but also widely recognized. Silvanols resolves to continue producing effective and export-capable products.

„It is a myth that Latvian companies are unable to de-velop innovative and competitive products, and that foreign production is less expensive and of higher quality.”

Silvanols Ltd.Faringo Spray medicament

Kaspars Ivanovs, Silvanols Ltd. Head of the Board „Silvanols participates in various international exhibitions, promoting not only the company, but also Latvia throughout the world. Silvanols has realized that Latvian companies are capable of producing effective and qualitative products that are highly appreciated and competitive in the world.”

Website: www.silvanols.lvTurnover (2010): LVL 1.35 millionNumber of employees (2010): 25Export countries: Lithuania, Estonia, the Czech Republic, Azerbaijan, Romania, Kazakhstan

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Dinex Latvia Ltd. focuses on production of exhaust pipes for trucks, buses, trac-tors, diesel generators and agricultural machinery. The company also develops and produces competitive exhaust spare parts for Baltic and Russian markets. Dinex Latvia has also developed a light version of the exhaust system, which is suitable for various trucks and buses.

„Dinex Latvia has achieved a 90 percent market share in the segment of exhaust pipes for light commer-cial vehicles in the Baltic States. The company’s sales in other countries continue to grow. In 2008, the company’s market share in the segment of exhaust pipes for light commercial vehicles in the Baltic States was only 30 per-cent.”

Dinex Latvia invested LVL 633,000 in development of a light version of ex-haust pipes and managed to drive out its Turkish rivals from the Latvian mar-ket. The company planned that its turnover in the segment of exhaust pipes for light commercial vehicles will amount to LVL 310,000 in January-September 2010, however, due to the new product, the company’s turnover exceeded the projected figure and reached LVL 466,000.

„The product was also successful due to the new sales strat-egy. In order to improve its sales, Dinex Latvia started to work with each customer individually. The company pre-sented its exhaust pipes together with the Turkish ones and explained the differences between them.”

Dinex Latvia still visits its customers once in a few months to find out their needs and hear suggestions. The customers also receive the company’s catalogues and are informed about the latest news via the mailing news system.

Dinex Latvia exports 96 percent of its production; the remaining four percent are sold on the local market.

The company used to only weld various components that were sent from Denmark. However, since 2004, the entire production process takes place on the spot. Dinex Latvia no longer sends its production to the central distribution facil-ity in Denmark, but delivers it directly to the company’s customers in Europe.

Dinex Latvia Ltd.Exaust systems and components for vehicles

Romāns Pjankovskis, Dinex Latvia Ltd. Financial and Administrative Director„Our solutions are developed as a compromise between our customers’ wishes and high quality.”

Website: www.dinex.dkTurnover (2010): LVL 11.8 millionNumber of employees (2010): 250Export countries: EU, Russia, Turkey, CIS, USA, South American countries, China, etc.

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DARO Cēsis Ltd. started processing berries, fruits and vegetables in 2009. Since then, the company has been offering sweetened dried black currants, cherries, carrots, pumpkins, cranberries and rhubarb on the Latvian market. DARO Cēsis also produces high quality natural syrups.

DARO Cēsis continues to invest all of its resources in development of its struc-tural unit „Hortus – processing of berries, fruits and vegetables”. In 2010, the company tested its production technology, equipment and signed new agree-ments on its products’ sale in Latvian supermarkets. This year, DARO Cēsis fo-cuses on investments in its production equipment and development of new products, which allows the company to optimize its costs, increase production volume and enter new markets.

„Employees are the main value of each company. It is important that there is someone who inspires with creative ideas and who is also a down-to-earth person who focuses on numbers.” DARO Cēsis believes that innovation should not always be complicated or con-nected with high technologies. Everybody can develop original ideas – on their own or together with like-minded people. The company usually makes use of practical experiments to generate new ideas. The new products, before they are sold in stores, are usually offered to people who are not connected with the company. Their feedback is highly important to understand whether the idea is worth implementing or not.

„It is wrong to assume that every business niche is occu-pied. However, one can only find out about the availa-ble niches by being active or researching the market de-mand.”

DARO Cēsis Ltd.Hortus – candied fruits, berries and vegetables

Aldis Krasnais, DARO Cēsis Ltd. Head of the Board „The production of sweetened dried fruits, berries and vegetables was a completely new sector. Therefore the company had to become familiar with it from scratch. The production also required large investments to develop technologies, purchase equipment, arrange premises, and, most importantly – reach the customers. It takes some time for the investment to pay off; therefore it is important to support business activities right from the start, so that good ideas do not disappear.”

Website: www.hortusfruit.lvTurnover (2010): LVL 42,000Number of employees (2010): 5Export countries: Estonia

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Baltās Naktis Ltd. has been doing business in Latvia since 1995, making bread rings, biscuits, gingerbreads, rusks, marshmallows, breakfast cereals, corn chips, rolls, pies and cakes at the Mario baked goods factory. The company also spe-cializes in the production of diet and diabetic products as well as products for people suffering from celiac disease.

One of the latest additions to the company’s line of products that has attracted much interest lately is the quality breakfast cereal DIKļI – bran pillows with cranberry, peppermint and cream filling, which, in terms of sales volumes, are successfully replacing analogue imported products.

„At the moment, department stores’ shelves are full of foreign products, but we believe that consumers should be given a chance to choose those locally made.”

The company is pleased with the sales of the bran pillows DIKļI. The unique-ness of the product is in its contents: bran pillows DIKļI contain a large amount of fiber, which regulates blood sugar level, maintains healthy level of choles-terol, stimulates beneficial gut flora and renews the balance of the flora after antibiotic therapy, and increases immunity.

„In product design and upgrades, Baltās Naktis cooper-ates with marketing experts and market analysts, com-bining information about market and consumption trends.”

Based on these data and the company’s production capacity, the company’s commercial director and sales department draw up product development con-cepts and marketing materials.

Baltās Naktis Ltd.Bran pillows DIKļI

Andrejs Magomedovs, Baltās naktis Ltd. Head of the Board„Currently local companies are having trouble finding new investment sources, therefore one might think that the period of innovations and business development is a thing of a past in Latvia. And nevertheless, companies continue to develop, expand and introduce new products, which can very well compete with imported analogues. Our slogan is: Producers have the honour to produce, consumers – to take pride in their choice.”

Website: www.mario.lvTurnover (2010): LVL 1.2 millionEmployees (2010): 65Export countries: Estonia, Lithuania, Poland, Germany, UK, Ireland, Greece, Israel, USA, Canada, Australia

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BIKO-LAT Ltd. is one of Latvia’s leading exporters of wood products that since 1993 has been producing treated, planed wood materials, cladding and ter-race materials, fences, garden furniture, wooden windows and doors as well as wooden panel homes.

The company nominated top-quality wood pellets as its product for the con-test. The pellets are made of pressed wood leftovers, they are used to stoke private homes’ as well as municipal boilers. The wood pellets replace natural gas, an imported energy resource.

„Development of new products is based on market de-mand. Our customers, most of whom are agents from various countries, turn to us asking that we start making one or another new product. After we receive such pro-posals, samples are prepared at the company, produc-tion costs are calculated and offers drawn up. If the price and the quality are acceptable to both sides, mass pro-duction of the given product commences.”

New ideas implemented by the company are mostly associated with existing products. Completely new products, which would not be linked to the existing products or equipment, are not being developed now.

„An idea is worth implementing when there is serious foundation for believing that the new product will sell. In other words: if there is demand, we will consider creat-ing supply. It is never so that a product is made first and then markets are sought for selling it.”

Working on the local market, it is important to develop and maintain good rela-tions with the company’s regular customers. The company’s key staff members, both in administration and production, have largely not changed for many years already. Therefore, it can be said that the company’s team is being built on the foundations of long-term cooperation beneficial to all parties.

The company says the main reason why it participates in the Export and Innovation Award 2010 is to improve the company’s recognition.

BIKO-LAT Ltd.Wood pellets

Valts Kurpnieks, BIKO-LAT Ltd. Member of the Board „It is not a goal in and of itself for us to compete with imported heating resources. Our task is to efficiently use wood leftovers from the production process. The pellets are not just environment-friendly fuel but also an efficient way to accrue and use biomass. We are pleased that we can offer competitive fuel with relatively high added value on the Latvian market.”

Website: www.biko.lvTurnover (2010): LVL 26.61 millionEmployees (2010): 182 Export countries: UK, France, the Netherlands, Iceland, Egypt, Norway, Denmark

PANTONE 310 C PANTONE 301 C

Category „Industrial Design”1st place – PAA Ltd. for Claro sink

2nd place – VARIS Toys Ltd. for VARIS Labirints wooden toy

3rd place – Angel Glass Design Ltd. for Northern Light, Black&White and Mirror-Mirror collections of glass and crystal dishes

Recognition –

Advaita Team Ltd. for acupressure mat Pranamat Eco

Ekokosmētika Ltd. for Norden Cosmetics sugar wax

Farm Kalna Smīdes 1 for honey selections Honey Duet, Honeymoon Duet and Cēsis Duet

Munio Ltd. for soy wax candles

Rauzas Kompānija Ltd. for furniture collection MINT

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Unlike the others, there are facts that we are proud of: that the first and leading bathroom interior manufacturer in the Baltics is PAA Ltd., established in 1993. For over 18 years, the company manufactures technically flawless and visually striking state-of-the-art bathtubs, wash basins, bath mats, bathroom furniture and fixtures. A leader in multi-color selection because acrylic bathtubs are lim-ited in their color tones and shades. PAA engineers have created unique tech-nology so that acrylic bathtubs can come in any tone or shade, also granite and mother of pearl. Customers can match tubs to floor/wall tiles chosen and other design elements.

„PAA in its production has successfully combined artis-tic value and ergonomic functionality. Functionality and design are the keys to success not only in Latvia and Eastern Europe, but also in Scandinavia and Western Europe.”

PAA offers more than 30 different models of bathtubs from cast stone and acryl-ic, wash basins, shower trays, and bathroom furniture collections. The company’s production is available in more than 60 standard shades that can be adjusted to every individual customer.

PAA also designs unique projects such as the Claro wash basin that saves space in a small bathroom.

When the company designed Claro, it could still remember the bathrooms in the Soviet Union that were so small that they required new functionality solu-tions. Claro can be placed on top of a washing machine to save space in a small bathroom. Due to its appealing design and practical dimensions, Claro is also popular among the owners of larger bathrooms and is among the company’s best selling basins.

„In order to develop and improve its products, PAA carries out market research and analyses competitor production. The company also follows various design trends on the global market and responds to its distributors, coopera-tion partners and customers’ wishes and demands.”

PAA team believes that bathrooms are meant not only for washing and bathing, but can also be considered a beautiful and harmonious environment for relax-ation.

PAA Ltd.Claro sink

Pēteris Treicis, PAA Ltd. Director and Co-owner „Human factor and good cooperation partners are of key importance when choosing export markets. It is one of the most important export development principles. Geographic location and mentality are also important.”

Website: www.paa.lv; www.paabaths.com Turnover (2010): LVL 1.2 millionNumber of employees (2010): 46Export countries: Lithuania, Estonia, Poland, Ukraine, Russia, Belarus, Sweden, Austria, the Czech Republic, Germany, France, Switzerland

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The original wooden toys made by VARIS Toys Ltd. are loved by kids not only in Latvia and neighbour countries but also in Norway, Italy, Japan and many other countries. The latest product, the construction game VARIS Marble Run, consists of wooden parts of various length and width that can be assembled in countless combinations to allow the marbles to race downhill through the surface of the parts and inside them through holes and grooves. The design of the toy was developed by Māris Peičs together with the company’s team.

„The company’s mission is to foster children’s develop-ment, offering high-quality, environment-friendly wood-en toys at reasonable prices.”

The main component of toys from VARIS Toys Ltd. is wood. Only FSC-certified birch is used in production of the toys, the wood is supplied by companies that pursue responsible forestry practices. Only top-quality hardwoods are used in the making of VARIS Toys Ltd. products.

At the moment, VARIS Toys Ltd. is the leading exporter of wooden toys in Latvia. In ten years, the company has presented four series of wooden toys for export markets: VARIS Construction Set, VARIS Marble Run, VARIS Town Builder and VARIS Architect.

The main method for entering new export markets is participation in interna-tional fairs: toy fair Spielwarenmesse and biological product fair BioFach (both held in Nuremberg, Germany).

„One of the criteria for choosing new export markets is information obtained at the fairs – the demand, the purchasing capacity and the competition on a given market.”

Regardless of new customers found at the fairs, the company’s choice of ex-port markets is also determined by the following factors: market size, residents’ purchasing capacity, convenient logistical solutions so as to not make the end-price too high.

Each time the company is considering the launch of a new product, the com-pany makes sure that the toy fully meets the idea of producing educating, en-vironment-friendly and aesthetic toys.

VARIS Toys Ltd.VARIS Labirints (Marble run)

Evija Tīrele, VARIS Toys Ltd.Member of the Board „We are pleased that we are appreciated not only on foreign markets but also on our local market. Each year we work on presenting a new VARIS product that should be not only interesting but also educating, visually attractive and made according to the highest requirements on quality.”

Website: www.varis.lvTurnover (2010): LVL 140,000Employees (2010): 7Export countries: USA, Austria, Belgium, the Czech Republic, France, Greece, Croatia, Estonia, Italy, Japan, Canada, UK, Lithuania, the Netherlands, Norway, Slovenia, Finland, Switzerland, Germany, Sweden

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Angel Glass Design Ltd., which belongs to several Latvian businesspersons, was established in 2004. an&angel is a brand of innovative and functional de-sign objects, including the collections of bowls and dishes Northern Lights, Black&White, Mirror-Mirror, In Between.

„The aim of Angel Glass Design Ltd. is to become the most recognized glass and crystal design brand in Latvia, and a sought-after and popular brand abroad through tireless search, study, invention and development of new technical solutions!”

Northern Lights is a collection of glass bowls designed by Artis Nīmanis and produced in Latvia per his instructions. The collection includes six bowls: black or white exterior with olive, lavender or azure interior.

Black&White are functional bowls with two different colors of glass – black and white. The shape of the bowls was borrowed from the popular an&angel two-sided glass bowls. Practical enough for everyday use, elegant enough for holi-days, these bowls will fit any mood.

On the other hand, Mirror-Mirror is the first collection of crystal bowls by an&angel. A mirror coating and crystal shine make this collection special; to-gether they create a unique visual effect. The mirror effect is achieved by em-ploying a special surface-coating that is often used for the leading techno- logies.

„In the development of its products, the company takes into consideration new production opportunities and follows the latest design trends. Angel Glass Design reg-ularly participates in international fairs.”

Thanks to the participation in Export and Innovation Award 2010, an&angel increased its profile and discovered that its work is appreciated.

Angel Glass Design Ltd.Northern Light, Black&White and Mirror-Mirror collections of glass and crystal dishes

Artis Nīmanis, Angel Glass Design Ltd. Creative Director „The willingness to experiment and stay one step ahead of even the world’s most popular brands is our driving force. Glass and crystal are the natural elements of an&angel. Nevertheless, other materials are also used in the creation of new design elements.”

Website: www.angel.lvTurnover (2010): LVL 41,000 Employees (2010): 4 Export countries: Germany, France, UK, Canada, Colombia, Malta, 23 countries altogether

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Yoga accessories producer and distributor Advaita Team Ltd. was established in May 2009. Advaita Team Ltd. is a Ventspils High Technology Park’s Business Incubator company, which convincingly entered the market of yoga products already in the first year of operation, waging a relentless struggle against com-petitors, which though there are not many in this kind of business.

„When choosing export countries, we weigh the mar-ket situation and the demand for yoga products. We started with exports to Scandinavia, later we expanded into Europe’s largest market, Germany, and then, step by step, our hard work also brought us to the Australian and US markets.”

The concept, design and shape of the company’s products are Advaita Team Ltd. itself, and the company outsources the production to partner compa-nies in Latvia and Lithuania. The raw materials are bought in Latvia as well as Poland, Lithuania, Estonia and the Netherlands. Since the launch of manufac-ture of plastic products – the buying of the necessary equipment – requires major investment, Advaita Team Ltd. has concluded that it would be more rational to outsource the making of its products.

„Acupressure mat Pranamat Eco is made of natural ma-terials. The key element of the mat is massage lotuses made of thermoplastic material called elastomer, with unique patented shape and a special glueless technique for fastening them onto the mat. Pranamat Eco acupres-sure mat, designed by Sergejs Jermoins, is available to buyers in not only Europe but also in faraway countries such as Japan and even Philippines.”

Advaita Team Ltd. has so far been able to get by without taking out any loans, the company’s development is based on the company’s equity and aid from European Union funds. Although the company also offers yoga clothing col-lections and various accessories, the yoga mats remain the most demanded products of Advaita Team Ltd. Already in the near future, several new products, which are currently in the development phase, could be added to the com-pany’s product line.

Advaita Team Ltd.Acupressure mat Pranamat Eco

Aleksejs Zagrebeļnijs, Advaita Team Ltd. Member of the Board „The demand for our products also continues to increase in Latvia. I cannot say that the demand is over-whelming because Latvia is a small country, but the demand continues to increase on a monthly basis, con-firming that the number of those residents of Latvia who care for their health and the environmental situa-tion is growing.”

Website: www.advaitaart.com Turnover (2010): LVL 422,000Employees (2010): 11Export countries: Finland, USA, Germany, the Netherlands, UK, Russia, Australia

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Family enterprise Ekokosmetika Ltd. was established in 2005. The company’s online store offers an extensive range of natural cosmetics by both local and internationally-recognized producers of ecological cosmetics. Besides cosmet-ics for ladies, men and children, the company also offers environment-friendly detergents.

In 2010, Ekokosmetika Ltd. itself began making products under the Norden Cosmetics brand. At the moment, the company produces Norden Cosmetics professional waxing and SPA procedures products, as well as a line of waxing products for home use.

„Norden Cosmetics sugar wax is a completely new waxing product made of natural materials, which comes as a full waxing set whose design was developed, keeping in mind users’ convenience and safety and with the use of environment-friendly and recyclable packag-ing materials.”

In product development, the company maintains active interaction with the end-users. To eliminate any shortcomings, the company interviews users, whereas to find out what products are lacked on the market, customer surveys are carried out.

„In the development and marketing of our products on both local and foreign markets, we have come to the conclusion that it is a product that people buy after some serious consideration – this is not something you buy on impulse. People need additional recommendations and information to feel that they need to buy the product.”

For the generation of new ideas, Ekokosmetika Ltd. frequently organizes brain-storming about matters of importance for the company. The goal of such ses-sions is to determine products that are not produced in Latvia.

According to Ekokosmetika Ltd. representatives, the greatest myth about Latvia’s business environment is the assumption that there are no innovations in Latvia, and that doing business here is almost impossible.

Ekokosmetika Ltd.Sugar wax Norden Cosmetics

Inese Priekule, Ekokosmetika Ltd. Head„Since we are a small company yet, it is important to us when we choose our new colleagues that they are not only professionals at work, but that our opinions on important values also go along.”

Website: www.ekokosmetika.lvTurnover (2010): LVL 70,000Employees (2010): 5Export countries: Lithuania

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Organic farming company Kalna Smīdes 1 is a family enterprise with twenty-year experience of producing honey and other honey bee products. The farm is located in Drabeši County, in the vicinity of the Gauja National Park.

The apiary has 150 hives altogether that produce honey from plants blossom-ing in the national park as well as nectar sources grown on the site – buck-wheat, clover and phacelia in an area of 35 hectares.

The technology that the enterprise employs for running the apiary includes four mobile pavilions with space for 12 to 30 hives, which makes it possible to swiftly move hives to pastures multiple times, making efficient use of natural and farm-grown nectar sources, and diversifying the range of the company’s products. As a result, consumers are offered not only buckwheat-clover honey and wild flower honey but also unique honey of cream-like consistency.

„Nature preservation and organic farming have always been our conviction. Organic horticulture and apicul- ture do not put any pressure on the environment, and they have a favorable effect on nature. We teach farmers environment-friendly farming, conduct agronomical, apicultural and organic farming studies, participate in rural tourism activities in cooperation with the associa-tion Lauku ceļotājs.”

Honey is packaged into containers ranging from 25 grams to 3,900 grams, which are supplied to fairs and supermarkets Rimi Latvija, Maxima, Stockman, Sky Baltija.

„Furthermore, Latvia’s most highly regarded honey-2007 has been included in menus of the national airline airBaltic.”

Farm Kalna Smīdes 1Honey selections Honey Duet, Honeymoon Duet and Cēsis Duet

Jānis Sietiņsons, Kalna Smīdes 1 farm owner„In a situation where almost everyone is rather wary about the further development in the agricultural sector, Kalna Smīdes 1 places emphasis not on expansion but on bee breeding, improving the quality of honey and increasing productivity. Much effort goes into the creation of new products. This cannot be done at once, work continues gradually, but the results are very pleasing and they manifest themselves as prizes at various fairs, customers’ praise and increasing turnover.”

Website: www.biomedus.lv Employees (2010): 3-4Turnover (2010): LVL 32,000Export countries: Japan

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Munio Ltd.Soy wax candles

Elīna Čīma, Munio Ltd. Director „Some companies believe that everything in export is simple and easily achievable. I believe that stable and reliable export partners require significant and long-term effort.”

Website: www.muniocandela.comTurnover (2010): LVL 103,000Number of employees (2010): 8Export countries: Denmark, Norway, Finland, Sweden, Germany, France, Switzerland, Luxembourg, Japan, USA

Candles producer Munio Ltd. was established in 2007, when economist Elīna Čīma and artist Ieva Dekstere decided to realize their vision of creating natural, environmentally and human-friendly candles that would be elegantly pack-aged and produced in Latvia. Čīma and Dekstere experimented with various candle-making materials until they stumbled upon ecological soy wax. They found inspiration in ancient Latvian herbal medicine and its unique ingredi-ents. In 2007, Munio Candela started candle production in Riga, in 2010 – in Portland (USA).

„We experimented in our local workshop for months and developed dozens of recipes, while mastering our tech-nique and setting goals for the company’s production development. As a result, Munio Candela developed two natural and modern product lines – Naturella and Villa.

Naturella candles are decorated with Latvian countryside herbs, whilst Villa candles take the company’s vision to the next level by incorporating recycled materials such as glass jars, wine bottles and wood burners to create a crackling effect of a nearby bonfire. The company collects these materials from various restaurants in Riga, processes them in its glass workshop, and pours the can-dles in them.

Munio candles are hand made by masters and use only 100 percent pure soy wax. The company chose soy wax because it is non-toxic, burns cleaner than paraffin, and does not leave any petrol-carbon soot. Soy wax burns slower than paraffin wax and is a renewable resource unlike its petroleum counterpart. It is also easier to remove it from various materials and surfaces. When the com-pany purchases soybean products, it also contributes to the economic growth of agricultural sector.

Munio candles are packed in recycled and unbleached cardboard. The com-pany’s marketing materials are produced from recycled paper.

„In 2009, Munio participated in two international exhi-bitions in Japan and France to launch its export. As a re-sult, the company gained new export partners in Japan, France and Germany. The new export companies should carefully study specific market segments to find out the most suitable market or trade channel.”

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Rauzas Kompānija Ltd. was established in 1997 in cooperation with leading architects’ companies and designers. The company manufactures and designs high quality furniture, interior elements and accessories.

„Rauzas Kompānija combines in its work centuries of proven traditions, carpenters’ craftsmanship, high quali-ty materials and advanced technology. The company aims at becoming one of the leading furniture manufac-turers in Latvia.”

MINT Light Living, designed by Jānis Rauza and Ieva Andžāne, has been the most successful Latvian furniture collection in recent years. MINT takes into ac-count the latest market trends and the demand for simple, natural and com-fortable furniture, suitable for general household use. The collection was also successfully shown at several furniture exhibitions.

The collection offers an innovative solution – the customers can choose be-tween its base modules and then adjust the components and colors according to their personal and household needs.

„We have started to believe in ourselves and have be- come more confident about our strength, skills and competitiveness. Rauzas Kompānija continues to deve-lop and improve the collection. At the same time, the company also conducts constant tests, offers its new production to customers and cooperates with designers and architects.”

The greatest myth about innovations and business activities in Latvia is that the country offers cheap labor. Qualified employees are expensive everywhere – adequately to their skill, experience and professionalism.

If there is a demand for new products on the market – the company designs them. The concept of MINT and its elements were products of artistic creativ-ity.

Rauzas Kompānija Ltd.MINT furniture collection

Jānis Rauza, Rauzas Kompānija Ltd. Head of the Board „MINT was a natural concept. We analyzed the actual situation on Latvian and foreign markets during the crisis, as well as the significant influence of glamour and elegance on our values. The new concept is based on good, old and tested furniture production types and the modern, dynamic way of life. Therefore it is possible to create a concept of high quality and modern design for every customer.”

Website: www.rauzas.com, www.mintmebeles.lvTurnover (2010): LVL 311,000Number of employees (2010): 16Export countries: Germany, the Netherlands, France, UK, Lithuania, Estonia, Austria, Russia

The mission of the Investment and Development Agency of Latvia (LIAA) is to promote growth of the economy of Latvia. Accordingly, the objective of LIAA is to promote business development by facilitating increased foreign investment, while elevating the competitiveness of Latvian entrepreneurs in both domestic and foreign markets.

Having more than 17 years experience in the attraction of foreign direct investment to Latvia and the promotion of foreign trade, the Agency has worked continually to improve the business environment and provide services appropriate to the needs of business.

Following Latvia’s accession to the EU in 2004, the Agency needed to adopt new methods and tools, including the effective utilisation of resources from EU Structural funds. Today, LIAA offers an integrated solution – it supports companies in Latvia trading internationally as well as overseas businesses seeking partners or locations in Latvia and administers state support programmes for entrepreneurs co-financed from EU Structural funds.

The ability to anticipate the rapidly changing needs of businesses and markets by offering new services charac- terises the Agency’s own competitiveness, built on the knowledge and competencies of our experienced spe-cialists. LIAA pays close attention to the quality of performance, comparing it with world best practices, and sub-sequently introducing new services and solutions for our customers.

In recognition of LIAA’s competitive and high quality services, the Agency was recently named one of the top 10 performing national Investment Promotion Intermediaries (IPI’s) in the world according to the Global Investment Promotion Benchmarking published by the World Bank. LIAA finished 7th in the fierce competition of 213 invest-ment promotion agencies.

Investment and Development Agency of LatviaAddress: Pērses iela 2, Rīga, LV-1442, LatviaPhone: +371 67039499Fax: +371 67039401E-mail: liaa@liaa.gov.lvwww.liaa.gov.lvwww.exim.lv