catalan way

In an official visit to Brussels where the President of the Catalan Government, Artur Mas, met with three Commissioners, he recognised that the European Union institutions view Catalonia’s self-determination “with great respect” but they have “some concerns” about “the potential independence” from Spain. Mas emphasised that Catalonia is too significant and relevant “not to be taken into account”. Therefore, the EU “is interested in providing Catalonia with stability” and to “not turn their backs on the Catalans’ majority public opinion”. Mas celebrated that at an international level “instead of closing the door, they listen to us”, which “is different” to the Spanish Government’s attitude.

The new tax would not affect individual citizens neither would it be implemented in areas without housing demand. The tax aims to put apartments and houses, owned by banks and real estate companies that remain empty despite being in areas with a demand for housing, back on the market. The expected effect is an increase in the amount of housing on offer in those areas and to make renting cheaper. The Catalan Minister for Public Works, Santi Vila, announced the new tax on Monday morning. A few hours later, the Catalan President confirmed they are considering it, although no final decision has been made. The Left-Wing Catalan Independence Party (ERC) stated that the measure was part of the agreement reached with the Centre-Right Catalan Nationalist Coalition (CiU).

Saint George (Sant Jordi in Catalan) is the patron saint of Catalonia. Every 23rd April the traditional red roses and all kinds of books invade the streets creating a unique atmosphere. Tradition says that the man gives a rose to his loved one and she offers a book to the man she loves. However, tradition has evolved and people also give books and roses to partners, family members and friends now. Despite the crisis six million roses and a million books are expected to be sold.

The 19th edition of the Latin American Film Festival in Lleida ended last weekend after showing 117 films from 14 different countries. Argentine film director Gustavo Garzón’s movie 'Por un tiempo' (‘For a time’) had its world premiere while honorary awards were delivered to Spanish actor José Coronado and Mexican actor Damián Alcazar. 'Porcelain horse' (Mejor no hablar de ciertas cosas), directed by Ecuador’s Javier Andrade, won the Best Film Award. The budget for this year’s edition had been reduced by 24% and the Festival was forced to remove documentary and retrospective sections from the programme.

On Wednesday it became known that the Catalan Banc Sabadell would acquire Banco Gallego from the Spanish Fund for Orderly Banking Restructuring (FROB). However, the details of the operation were still being discussed and no detailed information was disclosed. On Friday, it was stated that the FROB – owned by the Spanish Government and the Bank of Spain – will inject €245 million of public money into Banco Gallego. In exchange, Banc Sabadell will buy the financial entity for the symbolical price of 1 euro but will take care of all the potential future losses.

In a symbolical action, 11 town halls have handed in their monthly taxes to the Catalan Tax Agency and not to the equivalent Spanish entity. The Catalan Government’s body stated that it is legal, since later they will transfer the money to the Spanish Tax Agency. However, with this action, the town halls involved wanted to lend their support to “Catalonia collecting its own taxes”. In fact, the Catalan Government collecting all the taxes in Catalonia is widely asked for by a majority of the Catalan society. This week the Catalan Executive announced a programme supporting the development of its own Treasury, in order to provide the Catalan Tax Agency with muscle and experience. Furthermore the Association of Pro-Independence Town Halls asked its members to stop paying their taxes to the Spanish Tax Agency and switch to the Catalan one instead.

Tradebe’s new terminal for petrochemical products has 29 tanks for storing bulk liquids, with a total capacity of 450,000 cubic metres. The new facility represented a €65 million investment, occupying 60,000 square metres and creating 27 direct jobs. Tradebe is one of the leading companies in industrial waste management in Spain, with a significant presence in the United States and the United Kingdom as well as having subsidiary companies in France and Turkey. The President of the Catalan Government, Artur Mas, and the Spanish Minister for Public Works, Ana Pastor, participated in the unveiling ceremony. Mas asked Pastor to prioritise “productive” investments, such as Barcelona Port’s railway connections.

The offer, presented by Banc Sabadell, has won the tender for the acquisition of Banco Gallego, which was nationalised and owned by the Spanish Fund for Orderly Bank Restructuring (FROB). Banco Gallego was partially owned by Novagalicia Banco, the private bank resulting from Nova Caixa Galicia. The FROB has announced its decision although it also explained that the final details are still “being negotiated”. In the last year and a half, Banc Sabadell has bought the former Caja de Ahorros del Mediterráneo, the business activity of Caixa Penedès (part of Banco Mare Nostrum) and now Banco Gallego.

54% of Catalonia’s external sales go to the international market while the remaining 46% go to the rest of Spain. The number of Catalan companies which sold their products outside of Spain in 2012 was 45,000 enterprises, representing a 6.3% increase in relation to the 2011 figures and 11,554 more companies than at the start of the economic crisis. The export sector represented €58.28 billion, which was 28% of Catalonia’s GDP in 2012. The figure represented a 5% increase compared to 2011 and a 15% growth on data from before the economic crisis. Sales outside the European Union increased by 16% last year, especially in Oceania (61%), Africa (24%) and Latin America (21%).

With the operation, the Barcelona-based bank, has more than 6,000 branches throughout Spain for the first time. CaixaBank, which tops the Spanish retail banking market, acquired Banca Cívica in August, which was the merger of five savings banks: Caja Navarra, Cajasol, Caja Guadalajara, Caja Canarias and Caja Burgos. From now on, all the branches, ATMs, IT systems, accounts and other financial products from all the five previous savings banks will be integrated into CaixaBank’s business. CaixaBank has adapted 1,170 ATMs from Banca Cívica, reaching a total number of 10,000 ATMs distributed throughout Spain.

The Port of Tarragona moved 33 million tonnes of goods in 2012, slowly recovering the goods volume it had before the economic crisis. However it has not yet reached the 36 million tonnes it received in 2007. Tarragona is the second largest Catalan harbour and it is the fourth port with the most activity in Spain. It mostly specialises in bulk transport of solids and liquids, mostly cereal and petrochemical products. Furthermore, last year it enlarged its chemicals dock, reclaiming 18 hectares from the sea. The companies Vopak Terquimsa and CLH have confirmed they will operate from the enlarged dock. In addition, the port wants to attract cruisers and US military ships in the years to come.

Four Members of the European Parliament representing three Catalan parties have asked the European Commission and the European Council to declare their position regarding the linguistic immersion model in place in Catalonia’s schools. The four MEPs are reacting to a series of court decisions deriving from Spanish Supreme Court sentences and to Spanish Government initiatives against the current Catalan school model, which has been in place for the last 30 years and guarantees knowledge of both Spanish and Catalan. In fact, this model has already been praised by the European Commission, in 2007. The four MEPs represent the Centre Right Catalan Nationalist Coalition (CiU), the Catalan Green Socialist and Communist Coalition (ICV-EUiA) and the Left-Wing Catalan Independence Party (ERC).

The Catalan Education Minister will appeal the decision to the Spanish Supreme Court and meanwhile will not follow the petition of the Catalan Supreme Court (TSJC). The Minister stressed that “the classroom language cannot change just because a child asks for it”. She emphasised that only 17 families have asked to have their children schooled in Spanish. These kids received individualised attention in Spanish but the TSJC thought it was not enough. In the last few years, the Catalan school model has been put in the spotlight by Spanish nationalism, despite having been in place for the last 30 years. The model has shown that pupils perfectly command both languages by the end of their studies. It has also been praised by international organisations, as it guarantees equal opportunities and social cohesion.

The Catalan clothing company Mango had a €1.69 billion turnover last year, which is a 20% increase on 2011 data. 84% of the company’s revenue comes from outside Spain. During 2012, the Catalonia-based company opened 197 shops or retail corners worldwide, 180 of which were outside Spain. By the end of the year, Mango had 2,600 shops in 107 countries, with more than 12,000 employees all over the world. In 2013, the Catalan company will enter four new markets: Angola, Equatorial Guinea, Mongolia and Zimbabwe. In addition, it has planned to invest €265 million in opening new selling points, reforming shops and improving its logistics and information systems.

IAG, the merger between British Airways and Iberia, improved its offer on Vueling’s shares, increasing from a price of €7 per share to €9.25. The board of the Barcelona-based airline considers the new conditions to be “reasonable” and have decided to recommend that the shareholders accept the offer. In fact, some Board members, such as Vueling’s President Josep Piqué have announced that they will sell their shares to IAG. Iberia already controls 45.85% of Vueling and IAG’s aim is to completely control the Catalan airline. Therefore, the takeover is on the condition that they are able to acquire at least 4.16% of Vueling’s shares, which would mean that IAG would control at least 50.01% of the Barcelona-based airline. The deadline to accept the offer expires on the 19th of April.