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Introduction 5 Chapter 1: a description of the organisational structure set up for the implementation of the Strategy 6


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PA 8: Implementing the Small Business Act: to promote entrepreneurship, strengthen SMEs and increase the efficient use of human resources


Coordinated by Denmark and Germany

Four ministries are involved in the coordination of this Priority Area24, chaired by the Danish Enterprise and Construction Authority (DECA). The DECA is responsible for gathering information from the other Priority Area Coordinators in relation to reporting to the Commission, and is also in charge of showcasing the results during the Annual Forums, creating the website and participating in Strategy-level meetings. DECA also organised the kick-off meeting of the PA. The PAC reports that the internal coordination among the four ministries has been challenging, and points to poor communication and participation as main issues.

Seven out of the eight strategic and cooperative actions under this Priority Area are progressing. “Rural Entrepreneurship” is the only action with no project activity so far. As regards the Flagship Projects, six out of the eight projects are either being implemented or have recently applied for project funding in connection with the 4th Call of the BSR Programme. Several Flagships consist of more than one project, and in addition several cross-border projects, e.g. from the Central Baltic Programme, have been labelled as supporting the implementation of PA 8.

Collaboration with Baltic Development Forum has been set up in order to identify potential projects within the strategic actions on “female entrepreneurship” and “trade and investment promotion”.

The DECA now plans to continue the work of monitoring the implementation of already ongoing projects and work on project development within a few prioritized areas, where there is believed to be momentum for gathering partners and potential for creating value-adding projects. One opportunity that has been identified concerns pursuing project development activities within areas such as “female entrepreneurship”, “trade and investment promotion” and “promoting young entrepreneurs”.



Actions:

Strategic actions:

  • Promote trade and attract more investments into the Baltic Sea Region” through better cooperation between trade and investment promotion bodies in order to further enhance the tools provided by the Member States in this area. Further enhanced collaboration between trade and investment agencies in the Region would be of benefit for intra-regional trade, as well as for the trade of companies from the Region with countries outside.

Report: The partners involved at this stage are the Danish Enterprise and Construction Authority (DECA) and Baltic Development Forum (BDF). The latter is also involved in the project BaltMetPromo, which is partly focusing on investment promotion, and thus also contributing to the implementation of this action. DECA is not working within the area of trade and investment promotion. Therefore, the BDF has been engaged to produce a report on how cooperation between trade and investment promotion bodies can be improved in order to promote trade and investments in the EU Members States of the Region.

The report, which is expected in May 2011, discusses the nature of trade and investment promotion, maps the most important investment and trade promotion bodies and efforts in the BSR, provides an overview of current trends in trade and investments in the BSR, identifies challenges to regional collaboration in the field and suggests recommendations for future action. It focuses mainly on national, public or semi-public trade and investment promotion bodies, even if significant trade or investment promotion efforts of other bodies can be covered, such as private and sub-national and pan-Baltic bodies. Both intra-regional and extra-regional trade and investments are covered.

The BDF report suggests a number of short-term and long-term actions. In the short-term, BDF and DECA will attempt to invite relevant trade and investment promotion bodies to the next policy roundtable of the BaltMetPromo meeting in May. The purpose of this is to raise awareness of the report and invite participants to discuss how to establish a more permanent collaboration. A tentative follow-up meeting is planned to be scheduled back-to-back with the EUSBSR Annual Forum/BDF Summit in October 2011.


  • Secure access to capital for SMEs” for instance by promoting and introducing new and innovative tools that facilitate the access to capital in the Region, particularly at an early phase of their development. Examples could involve cross-border venture capital funds and cross-border guarantee schemes that would make it possible to exploit economies of scale and scope when investing in SMEs or guaranteeing their lending. The EU financial instruments of the Competitiveness and Innovation Programme, as well as the Structural Funds should be used extensively and in an effective way in order to secure finance for SMEs where current market conditions are difficult. The EU sources for SME finance should be complemented by national and regional financing.

Report: The project JOSEFIN aims to bring forward innovative products of SMEs to improve the transnational commercial activity of these companies. In order to reach its goals the JOSEFIN partnership includes relevant organisations for business development, such as public authorities responsible for the development and implementation of policies, public financial institutions as well as research and technology development organisations.

The main achievement of the project will be the implementation of a “JOSEFIN Innovation Loan Guarantee” for improved access to finance for innovative SMEs in all regions involved in the project. These new financial instruments under the JOSEFIN umbrella will provide back-up to commercial banks which issue loans, guarantees, seed capital or venture capital to SMEs. The financial risk of transnational activities for companies and financial institutions involved will thus be reduced. This will boost cooperation and international activities of enterprises. SMEs will have better access to financing and will be assisted by individual advisory and coaching services. For financial institutions, a new risk sharing model for saver credit provision will be implemented. This model will allow a more realistic assessment of the creditworthiness of SMEs.



  • Encourage and promote female entrepreneurship" to support economic growth and jobs in the Baltic Sea Region. There is a need to enhance entrepreneurship of women by targeting actions at young women and second-career women who are starting up or thinking about changing their professional activities. Policy-makers and SME stakeholders in the Baltic Sea Region should be encouraged to increase and promote the spirit of enterprise amongst women. To create a favourable climate for female entrepreneurship, contextual, economic and soft factors that hinder the start-up and growth of women’s enterprises need to be addressed.

Report: The partners involved are the Danish Enterprise and Construction Authority, Baltic Development Forum (BDF) and relevant coordinating authorities in the Region. BDF has produced a report mapping female entrepreneurship policy at the European and national level that encompasses all of the Baltic Sea Region countries as well as Iceland, Norway and Russia. The purpose of the report is to inspire and raise awareness of the existing policies and initiatives that the countries have implemented to promote female entrepreneurs. The target group for the report is primarily policy-makers and relevant bodies working with female entrepreneurs. The report will be published in March/April 2011. The Danish Enterprise and Construction Authority covers the expenses for the report.
If the financial resources are present (e.g. as part of the technical assistance programme), a seminar/conference will be held for policy-makers/practitioners in 2011. The objective of a seminar is to discuss new ideas and explore opportunities for collaboration across the Region.

  • Jointly develop entrepreneurship in offshore renewable energy, particularly wind, to make the Baltic Sea Region a lead region in this field”. Offshore renewable energy is one of the growing maritime sectors. Pioneer work and the development of innovative technologies have been done by small and medium-sized enterprises and these economic structures will continue to be important for the sector's development. Strengthening entrepreneurship in the Baltic Sea Region in this field could lead to the development of a lead market initiative for renewable and clean energy. The conditions and ongoing activities in Denmark, Germany and Sweden as well as the gas transport from Russia make the Region more or less already the hotspot for innovation and new developments in this field. The Baltic Sea Region states could take a leading role in a broader European development through e.g. listing the main technology challenges and demonstrating the main regulatory obstacles in anticipating a Europe-wide debate on offshore renewable energy. The horizontal action on Maritime Spatial Planning (see below) can be beneficial for this action. Support for "green businesses" more generally is vital.

Report: Please refer to the 2010 report on the EUSBSR webpage. DECA is still trying to involve the Danish test and demonstration facility Lindoe Offshore Renewables Center, which is one of the leading knowledge centres within offshore renewable energy. The organisation has expressed interest in a BSR project, but so far the discussions have not let to concrete actions.

  • Entrepreneurship training as part of the school curricula”. Entrepreneurship should be included at all levels of education including at university level, teachers should be provided with appropriate knowledge and innovative teaching methods, and an entrepreneurial culture should be established. This should be done with the involvement of local business. Universities in the Baltic Sea Region should be encouraged to increase the spirit of enterprise and to create a favourable climate for entrepreneurship, not only addressed to business and economics students. Measures should include support for university start-up companies, spin-offs and specific teacher training.

Report: No report received

Facilitate rural entrepreneurship” by establishing programmes for education and cross-border exchanges, making full use of funding available in the European Agricultural Fund for Rural Development in support of SMEs.



Report: No report received

Cooperative actions:

  • Increase labour mobility” not only within but also into the labour markets by promoting increased transnational cooperation in reducing borders and enhancing mobility. Cooperation between municipalities, regions and Member States is an important way to increase the efficiency of the support instruments, allowing for the mutual exchange of experience, analysis of future topics and looking at procedures for implementation and comparison of performance. Fostering deeper cooperation between job agencies in the Baltic Sea Region and promoting better links between labour training, retraining and advanced training and the labour market needs in the entire region are vital aspects. Another important issue is the mutual recognition of qualifications, which requires cooperation between the relevant control bodies. The maritime cluster can benefit from labour mobility between land-based and sea-based jobs and careers, as well as a more transparent and higher-level system for qualification for maritime professions. Actions are detailed in chapters 4-13.

Report: For the moment, the action mainly consists of the work of the Flagship Project "Baltic Sea Labour Network" (BSLN). 

  • Initiate an exchange of good practices in the area of administrative simplification of start-ups, licenses and bankruptcy procedures” based on the recommendations from the Small Business Act.

Report: The database of good practices is now running. The contact points have already announced more than 90 cases in the fields of the Small Business Act.

Flagship Projects (as examples):

  • 8.1.Promote young entrepreneurs”: Cooperation between education and business sectors is important for creating sustainable growth. A joint initiative should be developed to focus on encouraging young entrepreneurship, as well as promoting and making financial resources available for developing young entrepreneurs’ mobility and for cross-border networks for young entrepreneurs in the Baltic Sea Region (Lead: Denmark; Deadline for progress review: to be determined)

Report: No report received from the PAC (Charlotte Romlund Hansen, Danish Ministry of Education)

  • 8.2. “Develop deeper cooperation on environmental technology to create new business opportunities”. To strengthen SMEs in the environmental technology sector, a stronger critical mass in knowledge and technology has to be created involving both RTD (research) and enterprises. Joint actions should include increased cooperation in export promotion. (Lead: Poland; Deadline for progress review: to be determined)

Report: Consists of three projects: BioNutCut, DeepEntech and eFrontrunners (all are in the application phase):

BioNutCut

The BioNutCut project aims to advance the uptake of biogas technology in the treatment of organic wastes and side streams from municipalities, industry and agriculture in the Baltic Sea Region, by facilitating dissemination of innovations in biogas technologies across the BSR, promoting transnational transfer of biogas technology and knowledge and preparation of investments in biogas technologies in the target countries. The project also intends to enhance the business opportunities of SMEs in this field by facilitating the dissemination of innovations, increasing cross-border networking and trade relations, and attracting more investments into the BSR

In the Baltic Sea Region obstacles to trade and investments still exist at the practical level, and it has proven difficult for SMEs in the biogas business to benefit optimally from the internal market and successfully expand their activities to their neighbouring countries. The BioNutCut project addresses this topic by facilitating dissemination of innovations in biogas technologies across the BSR, promoting transnational transfer of biogas technology and knowledge and reducing the non-tariff barriers to trade and investments in and between BSR countries. Another aim is to enhance the business opportunities of SMEs in this field by increased cross-border networking and trade relations and by attracting more investments into the Baltic Sea Region.

DeepEntech

The strategic objective of the Project is to strengthen SMEs in the environmental technology sector. A stronger critical mass in knowledge and technology has to be created involving both R&D and enterprises. It will also aim at increased cooperation in export promotion to target markets outside the BSR.

Priority environmental technologies for the project are: sustainable construction, energy efficiency, water treatment, waste and materials recycling. Six potential markets in the world have been identified but two or maximum three will be selected as target markets for technology promotion. The partnership consists of six partners from four BSR countries (Germany, Lithuania, Sweden and Poland), but the lead partner is also looking for other partners or network partners.

eFrontrunner
“Energy efficient frontrunner” is a new concept that will increase the use of energy-efficient technology. Help will be given to eco-solutions provided by SMEs so that they can reach a wider market in the whole Baltic Sea Region and cities/regions will become more competitive.

By appointing frontrunners that are taking the lead in using energy-efficient solutions, the project will inspire more organisations in the public sector to become new frontrunners. eFrontrunner boosts the knowledge transfer from frontrunners to adepts, in cooperation with SMEs. Adepts are given the possibility to learn from the best, by preparing investment plans for their own projects at home. The project has a valuable impact on cross-border cooperation between public authorities and private companies, and influences the development of the European market with large benefits for cities by saving energy costs and pushing forward good ideas of local companies. The Europe 2020 strategy emphasizes green growth, so the project will support this strategy with its work and with the implementation of concrete actions. The project is cooperating with the DeepEntech project as well as the SPIN project.



  • 8.3. “Implement the project Sustainable Production through Innovation in Small and Medium-sized Enterprises”. The aim is to increase the innovation potential in SMEs to enhance their sustainable production processes, thereby increasing company profits whilst reducing economic and environmental costs. (Project financed by the ‘Baltic Sea Region’ Programme under the ‘territorial cooperation’ objective of the ERDF; total budget €3 million over 3.5 years). (Lead: Germany; Deadline for progress review: to be determined) FAST TRACK

Report: SPIN (Sustainable Production through Innovation in Small and Medium-sized Enterprises) aims at supporting SMEs to implement existing eco-innovations. At the 3rd partner meeting it was decided to focus on the thematic fields of construction, decentralised water management, surface treatment and energy from biomass/biogas. Several industry workshops addressing these topics and bringing together the demand and supply side of eco-innovations have successfully been held in different partner countries. A SPIN synthesis report based on the findings of specific country studies on barriers and incentives for innovations for sustainable production in SMEs has been developed, a draft version is also available on the project website. SPIN partners are located in Denmark, Sweden, Finland, Estonia, Lithuania, Poland and Germany. The SPIN innovation database was launched in May 2010, comprising 200 innovation examples up to now (www.spin-project.eu).

    • 8.4. “Make the Baltic Sea an Eco-efficient region” e.g. by establishing a network on green public procurement where good practice and experience are exchanged. Focal points should be established in all Baltic Sea Region Member States to increase knowledge and disseminate information. (Lead: Germany and Sweden; Deadline for progress review: to be determined)

Report: The Flagship is organised in two parts:

Part I – The project “Eco-Region”, led by Germany, is geared towards turning the Baltic Sea Region into one of the world's leading areas in terms of competitiveness and ecological sustainability. Within the framework of the project, 10 model regions develop strategic sustainability programmes with clearly defined goals. In addition, selected measures are implemented directly. Valuable knowledge is compiled in cooperation with the Baltic21 sectors (e.g. industry, education, energy and transport), the model regions and additional stakeholders. Contacts for various topics (e.g. environmentally-oriented public procurement, sustainability in production and consumption) are identified and the data made available to interested groups through a digital database. In addition to knowledge transfer, policy recommendations are developed, e.g. a contribution to the new Baltic21 Strategy 2010-15 with a strategic focus on topics such as the promotion of eco-innovation in SMEs.

So far five partner conferences have taken place to promote knowledge transfer within the regions, the final conference being scheduled for the end of November in Poland. Online access to the database has been available since summer 2010. Initial publications and studies have been developed e.g. on climate change, sustainability in production and consumption, innovation and education in the field of sustainable development, sustainable urban and rural development, sustainable tourism and territorial cohesion.



Part II – Establishing a network on green public procurement, led by Sweden: A network of national focal points for green public procurement (GPP) has been established in the Baltic Sea Region. The purpose of the network is to form a platform for exchanging knowledge, good practice, experience, ideas and information on GPP with the aim being to support an eco-efficient economy in the Region. Two meetings have taken place, in September 2010 and January 2011, to discuss the aim of the network, the more specific needs of the Member States, and how to work. The network has identified several topics of common interest and intends to develop concrete projects on some of them as well as continue to develop the network. An initial concrete project is under development with the aim being to establish a capacity-building programme on GPP within the Region. The project will apply for funding from the BSR programme. A website for the network has also been created.   

    • 8.5. “Make the most of the European Code of Best Practices Facilitating Access by SMEs to Public Procurement" in order to help them to tackle the remaining problems which hamper their development. (Lead: Germany; Deadline for progress review: to be determined)

Report: Please consult the 2010 EUSBSR Report

    • 8.6. “Make the Baltic Sea Region a leader in design”. The States in the Region have both potential and experience to build on in the field of design development and have initiated cooperation in this area. There are some similar features in design originating from the Region and this should be marketed in a joint way. Dissemination of good practices related to the Baltic Sea basin design can take place through thematic conferences and exhibitions of good practices, as well as festivals: e.g. Gdynia Design Days. (Lead: Poland; Deadline for progress review: to be determined)

Report: No progress so far.

    • 8.7. “Implement the Baltic Sea Labour Network project”. The project aims at improving the management and harmonisation of the common labour market issues in the Baltic Sea Region based on joint transnational strategies. In particular, demographic changes and migration processes will be taken into account. (Project financed by the ‘Baltic Sea Region’ Programme under the ‘territorial cooperation’ objective of the ERDF; total budget €2.6 million over 3.5 years). (Lead: Germany: Behörde für Wissenschaft und Forschung der Freien und Hansestadt Hamburg; Deadline for finalisation: to be determined) FAST TRACK

Report: The project will share knowledge and ideas to promote positive change in the labour markets of the Region. Focusing on the areas of mobility of labour, active labour market policy, training and education, and the development of human resources, the BSLN is working to strengthen dialogue and open new communication channels with the objective of achieving sustainable development in labour market policies. In doing so, BSLN wants to establish the Baltic Sea Region as a model for sustainable labour market development in Europe.

The project partners have started four pilot projects at the national level and one at the transnational level as well as carried out studies which are all published on the BSLN webpage. The pilot project’s topics are social dialogue and labour mobility. An ongoing study identifies and analyses labour market strategies in the BS states. All results will be collected in a final publication at the end of 2011. At the transnational level, the project’s tripartite Steering Committee has agreed already on three statements, two will follow. All statements together will be published as labour market strategy recommendations in the final publication.



A forum for Social Dialogue in the Baltic Sea Region has been established. Members include representatives of both employer and employee organisations as well as of governments and parliaments. Russia will be included. The 1st annual forum roundtable will be held at the BSLN final conference in November 2011 in Hamburg.

    • 8.8. “Cooperation between Public Employment services", including information on job offers and on working conditions and residence in the Baltic Sea Region through better use of the European portal dedicated to job mobility, EURES. (Lead: Sweden, Arbetsformedlingen (Public Employment Services); Deadline for progress review: to be determined)

Report: No progress

PA 9: To reinforce sustainability of agriculture, forestry and fisheries


Coordinated by Finland and Lithuania for rural development and Sweden for fisheries

The Priority Area Coordinators report that the Flagship Projects in Priority Area 9 have generally succeeded in identifying and using several different funding sources for their activities and/or start-up phase.
As a result of the EUSBSR, the cooperation forum Baltfish has been established. The primary goal of Baltfish is to improve and strengthen coordination and cooperation of fisheries administration among Baltic Sea Member States, but also among the administrations and other key stakeholders relevant for Baltic Sea fisheries. It is a forum for exchanging ideas, views and information and a forum that can facilitate joint forces in various concrete projects aiming at achieving sustainable fisheries in the Baltic.
The Flagship Project Baltic MANURE started only recently but the project has already formed a cluster that includes four agri-environmental projects – BalticDEAL (FP 1.4), Baltic COMPASS and Beras Implementation. All the four projects have a common goal – to reduce leaching of nutrients from agriculture to the Baltic Sea. They work together, although in different fields, to reach this objective. The PACs point to this as a good example of cooperation between the various priorities of the EUSBSR.
The organisations involved in the Sustainable forest management in the Baltic Sea Region – EFINORD Flagship – Priority Area Coordinator Finland, EFINORD, and the Nordic Forest Research Cooperation Committee (SNS) – have agreed to cooperate under a Memorandum of Understanding (MoU). The MoU presents a vision for the EFINORD Flagship, and outlines the modus operandi of cooperation, including the criteria to accept new projects in the EFINORD Flagship. The MoU will help keep cooperation focused on bringing added value to the BSR. Out of the seven projects, five are getting started or are already ongoing. Several of these projects are interested in finding Russian partners.
The Flagship Project “Sustainable Rural Development” has been financed by National Rural Networks of the Rural Development Programmes and, thus, introduced cooperation between EAFRD programmes and the EUSBSR. The earlier established Nordic-Baltic cooperation of the National Rural Networks has now been extended to cover the whole Baltic Sea Region. The cooperation between EAFRD programmes will also continue through the common action coordinated by Lithuania.
Several Flagship Projects under Priority Area 9 were agreed on jointly between the Member States and stakeholders at the second joint Priority Area seminar in January 2010. The PACs believe that the joint agreement has had a positive influence on the commitment to the projects and their objectives. The PACs also point out that the EUSBSR has contributed to the reinforcement of many already existing networks, e.g. at the Nordic-Baltic level as well as their extension to cover the whole Baltic Sea Region. Nevertheless, they point out that the commitment to EUSBSR activities varies considerably between the Member States, and that this should be one of the challenges looked at during the coming year.

Actions:

Strategic actions:

  • Continue the adaptation of the Baltic fishing fleet capacity to the available resources”. Evaluate the economic performance of the fleet segments and apply necessary measures to adjust fishing capacity to a level in-line with the available resource using national means or regulations within the framework of the CFP. Through the European Fisheries Fund (EFF) Operational Programmes, EU Member States have an opportunity to address the overcapacity of their fleet through the implementation of the fishing effort adjustment plans.

Report: The cooperation in the fisheries section has been established within the four Flagship Projects (9.1, 9.2, 9.4 and 9.5)

  • Improve control and stop illegal fishing”. Enhancement of national quota utilisation and fisheries control and inspection, especially by high-tech monitoring and surveillance, improved coordination and harmonisation among Member States. An effective traceability system based on existing legislation and further analysis of developments should be established. The Copenhagen Declaration on combating unreported cod fishery in the Baltic Sea should be implemented.

Report: The cooperation in the fisheries section has been established within the four Flagship Projects (9.1, 9.2, 9.4 and 9.5)

Cooperative actions:

  • Develop sustainable strategies for wood” within the framework of Sustainable Forest Management (SFM) and Research and Development programmes in order to develop a common Baltic Sea Region approach. Forestry research undertaken by the Nordic Council of Ministers should be exploited. The strategies would be placed in the broader context of national forest programmes or similar and/or national renewable energy plans, balancing supply of wood raw material to the forest-based industries, renewable energy development, nature conservation strategies and wood mobilisation.

Report: The development takes place at various independent levels, in close cooperation with the EUSBSR. Activities are supported and facilitated by the Nordic Council of Ministers, and more concretely through the cooperation structures of the Nordic Forest Research Cooperation Committee (SNS). Potentially, the development of sustainable strategies for wood is one of the main directions in the establishment of new Centres of Advanced Research (CAR) under the SNS. In the long run, the strategies developed would be placed in the broader context of national forest programmes or similar and/or national renewable energy plans, balancing supply of wood raw material to the forest-based industries, renewable energy development, nature conservation strategies and wood mobilisation.

  • Enhance the combined effects of the Rural Development Programmes” through better cooperation leading to more targeted measures. The programmes could be linked when dealing with similar problems. There should be a streamlining of the rural development measures in the national Rural Development Programmes, including joint studies and monitoring. There is a need to develop joint training and advisory measures, with more emphasis on common innovation across borders.

Report: The coordinator is the Ministry of Agriculture of the Republic of Lithuania. The principal participants of this common action are EU Member State representatives from Managing Authorities (ministries) together with social, economic and institutional partners. A system of joint learning and training will be addressed to public officers working with the Rural Development Programme (RDP) implementation. Final beneficiaries in the Member States should be involved as well, as they can identify the most urgent issues to be resolved. Rural Networks and Managing Authorities will be invited to discuss together possible ways to simplify implementation, e.g. by looking at application processes, payments and funding.

Lithuania, as the coordinator of this common action, prepared a Questionnaire on common action: "CAP after 2013 – joint learning and training in implementation of the RDP" in accordance with the Priority Area and sent it to the Member States seeking to identify their concrete demands. The questionnaire was oriented to Member State representatives from the Managing Authorities and to their social and economic partners, with the aim of identifying frequently asked questions, a cooperation model, frequency of meetings, etc.

All Member States in the Baltic Sea Region have their own national or federal (regional) Rural Development Programmes. As the Member States developed their own National Strategic Plans and consequently Rural Development Programmes addressing their specific needs, the selections of measures and allocations of funds differ from programme to programme. The administrative systems for implementation also reflect a variation of possible solutions.

As a response, there will be annual meetings for the representatives of the Member States’ Managing Authorities, dealing with the issues of coordination and implementation of the Rural Development Programmes. The aim is to implement rural development initiatives under the Baltic Sea Region more effectively and to form a more unanimous regional position for CAP and rural development issues for the upcoming programming period.



  • Develop strategies for a sustainable use of and breeding with forest, animal and plant genetic resources” that are considered to have positive effects on hindering soil erosion, to minimize the use of acidifying substances, on carbon capture and storage, and finally to conserve genetic diversity. By creating networks within the Baltic Sea Region, the aim will be to strengthen and develop the cooperation in the area by exchanging information, developing competences and giving advice for policy-making. Furthermore, networks’ projects will be developed within different topics, for example: plant genetic resources for agriculture in changing climate, including pre-breeding, forestry, carbon capture and storage and adaptation to climate changes, animal genetic resources, pollution and sustainable breeding programme, education on genetic resources, etc. Actions and experience of the Nordic Council of Ministers should be exploited for further cooperation and development.”

Report: The project "Management and conservation of forest tree genetic resources in the Baltic Sea" under the EFINORD Flagship Project (see below) directly supports this goal. The project consists of two sub-projects: evolutionary genetic pockets for broadleaved tree species and cooperation in breeding Norway spruce.

  • Animal Health and disease control” should be reinforced. Actions and experience of the Nordic Council of Ministers should be exploited for further cooperation and development, including Nordic Baltic cooperation in this field.”

Report: Activities in this field take place within Flagship Project 9.11. “Reinforcement of animal health and disease control”.

  • Enhance the combined effects of the European Fisheries Fund (EFF) programmes” through better cooperation leading to more targeted measures. The programmes could be linked when dealing with similar problems.

Report: The activities regarding fisheries take place within Flagship Projects 9.1, 9.2, 9.4 and 9.5.

Flagship Projects (as examples):

    • 9.1 “Develop and improve coordination and cooperation among Member States and stakeholders” on fisheries management in the Baltic Sea. A forum called Baltfish has been established to enhance collaboration among Baltic Sea Member States as a first step towards further regionalisation of fisheries management. The forum will work with relevant Baltic Sea organisations including the BS RAC and HELCOM on how integration of concerned stakeholders in fisheries management and policy implementation can be strengthened. The forum will also be developed further in this regard. (Lead: Sweden; Deadline for progress review: 1 June 2010)

Report: To develop and improve coordination and cooperation among Baltic Sea Member States and with stakeholders, a fisheries forum within the EU Strategy for the Baltic Sea Region is being developed. The forum is called Baltfish. Specifically it aims at improving and strengthening coordination and cooperation of fisheries administrators among Baltic Sea Member States, but also among the administrations and other key stakeholders relevant for the Baltic Sea fisheries. It is a forum with a regional perspective for exchanging ideas, views and information, and a forum that can facilitate joint forces in various concrete projects aiming at achieving sustainable fisheries in the Baltic Sea.

The idea is to facilitate ongoing processes by enhanced information and communication, but also to find synergies between ongoing work within these bodies and the Member States. This could be one way of avoiding duplication of work as well as avert potential misunderstandings and misinterpretations. The core of Baltfish is a High Level Group (HLG) consisting of the fisheries directors of the Baltic Sea Member States as well as the director of Baltic Sea fisheries at the Commission.

The High Level Group will meet on a regular basis to discuss issues of common interest. The high level group may invite other stakeholders that are deemed relevant for the discussions in the group. This includes BSRAC, HELCOM and ICES, which are all key organisations in the management of fisheries in the Baltic Sea. A larger meeting is expected to be organised on a regional basis (e.g. once a year). The leader of this Flagship Project is the Swedish Ministry of Agriculture. However, the chairmanship of Baltfish will change each year. The chairmanship of the Baltfish HLG will change each year (i.e. 12-month period) starting with Sweden 2010/2011 then following an agreed order among the Member States. Sweden has the chair until 1 July 2011. Sweden proposes a clockwise order of the chair, meaning SE, FI (2011/12), EE (2012/13), LV (2013/14), LT (2014/15), PL (2015/16), DE (2016/17) and DK (2017/18).

The Commission (DG MARE) has presented a draft paper for a roadmap for the eradication of cod discards in Baltic Sea fisheries. The Baltfish Forum welcomed the draft roadmap, and there has been discussion on the different issues and elements to be included in the roadmap. An open consultation on the draft ended 31 December 2010, and several contributions have been sent to the Commission. See more information in Flagship Project 9.2



  • 9.2. “Eradicating discards” Even though discard rates are comparatively low in the Baltic Sea, there is scope for measures to reduce or eliminate them. This could be done by establishing joint pilot projects to identify viable solutions including gear modifications or temporal closures. (Lead: Denmark; Deadline for progress review: 1 June 2010)

Report: The aim of eradicating discards in the Baltic Sea is to contribute to more healthy stocks and marine eco-systems, secure the full economic potential of the goods provided by the sea, satisfy growing consumer demands for sustainable fisheries products and gain a more reliable picture of the stock situation and thus strengthen the biological advice.

The Baltic Sea Member States and the European Commission Services decided in October 2009 to establish a technical working group to assess different measures and develop a roadmap to eradicate discards inter alia through the adoption of a discard ban where appropriate.

At the joint EUSBSR Priority Area 9 seminar and Baltfish Forum meeting on 18 November 2010, the Commission (DG MARE) presented a draft paper for a roadmap for the eradication of cod discards in Baltic Sea fisheries, building on among others the conclusions from the technical working group. The roadmap contains an overview of issues such as scope and management relating to discarding in the Baltic Sea, and includes a timeline for the implementation of a combination of measures (2011 to 2013) at the end of which a discard ban in the cod fishery could be introduced following the step-by-step approach laid down in the roadmap.

An open consultation on the draft ended on 31 December 2010, and several contributions have been sent to the Commission. Following this consultation process the Commission is expected to finalise the roadmap.



  • 9.3. “Sustainable rural development” projects must be developed to bring together people in the Region for sustainable rural development and livelihood, such as supporting the environment for innovations, youth, rural tourism, agriculture and forestry. New practices on using an integrated approach should be developed. (Lead: Poland and Sweden; Deadline for progress review: to be determined)

Report: The project is aiming at increased youth involvement in rural societies and a better innovation climate in rural areas. Connecting local, national and transnational projects within the Rural Development Programme, and mainly LEADER, and promoting good practice and benchmarking in the Member States, while seeking common solutions, will help to make rural areas in the Baltic Sea Region more youth-oriented and innovation-friendly.

A steering committee, “The captain's crew”, has been formed, and criteria for the local projects decided. A draft roadmap has been developed and includes: selection of at least two local/national projects per Member State to be members in the Flagship, a meeting with the selected projects in January 2011, common activities during 2011, and a Baltic Sea conference at the end of 2011 with the Flagship themes.

For the local activities, the funding is secured, but for the common actions such as planned conferences and workshops, the funding issue is still not resolved.

The next steps are the common activities performed individually by each member project followed by the general conference at the end of 2011 where decisions will be made for future common activities in 2012 and a final European Conference. Throughout 2011-12, new local projects are welcome to join and contribute to the Flagship by signing a letter of agreement where the terms of reference for participation are stated. By signing the agreement and implementing the stated common activities in the local project, they become members of the Flagship.



  • 9.4. “Ensure sustainable fishing” by addressing failures and opportunities in the policy, as identified in the Common Fisheries Policy reform process, by developing an ecosystem-based approach to fisheries management. The activity will be carried out in cooperation with public authorities and stakeholders concerned and take into account the recommendations of the HELCOM Baltic Sea Action Plan, best practices and scientific knowledge, including the scientific assessments by ICES and STECF. (Lead: Sweden; Deadline for progress review: 1 June 2010)

Report: The action plan for salmon management in the Baltic Sea expired in 2010 and a new long term management plan (LTMP) will soon become a focus for debate and negotiations. For an LTMP to ensure sustainable fishing, it has to adopt an ecosystem approach. The case of salmon is characterised by high diversity in terms of genetics, life cycle and habitats, fishing methods and users affecting salmon and the habitats essential for its survival. These are dimensions of high relevance to an ecosystem-based LTMP.

This Flagship Project aims at contributing to the LTMP so that salmon populations are not driven into unsustainable situations and remain above the thresholds needed for long-term viability.

A concept paper on the rationale behind the case of Salmon was distributed and used as a base for discussion. Views have been gathered from officers and experts working with salmon in DG Mare, Baltfish, ICES-WG-BAST, BS-RAC, Finland, Estonia, Latvia, Coalition Clean Baltic, the HELCOM-SALAR project and the BALTGENE project.


  • 9.5. “Encourage sustainable aquaculture production methods”. This action is emphasised in the new Commission Communication on aquaculture and can be implemented by the European Fisheries Fund (EFF) Operational Programmes of the EU Member States. (Lead: Finland; Deadline for progress review: 1 June 2010)

Report: The project is concerned with preparing a “Code of Best Practices for Sustainable Aquaculture in the Baltic Region”. The group of experts were to prepare a Draft Code to be presented at the Baltfish meeting in June 2011. The objective is to have a Code that is widely accepted and implemented in decisions that affect Baltic aquaculture.

The Code would establish specific Baltic recommendations or standards for relevant aquaculture issues such as:

Development of novel environmental policy enabling and facilitating the recycling of phosphorus in the Baltic Sea Region, by using feed made of pelagics or other fish caught in the Baltic Sea and developing feed technology.

Endorsement of large-scale and harmonised use of spatial planning tools for more favourable siting of cage farms. The objective of this is to reach economically viable farm sites with fewer local conflicts and environmental harm.

Feasibility and implementation of robust cage farm technology for the more exposed off-shore sites, especially in the northern and western parts of the Baltic Sea.

Feasibility and implementation of novel and moderate cost open-air recirculation systems for on-land farming, especially in the southern and eastern parts of the Baltic Sea.

Development of the legal regulatory framework for aquaculture, especially environmental licensing models for ecosystem approaches, considering the net impacts on the sea and including economic incentives for concentration and relocation of units and use of environmentally sustainable feeds and technologies.


  • 9.7. Sustainable forest management in the Baltic Sea Region – EFINORD

    EFINORD interacts with the EU, especially in policy-related issues, and integrates forest research of the Nordic region into Europe. The network should focus on sustainable forest management, reflecting regional issues; primarily biomass production and ecosystem services, which are high on the agenda for forest owners, industry and society at large. (Lead: NCM/SNS; Deadline for progress review: to be determined)

The EFINORD Flagship offers an umbrella for forest and SFM related activities in the EU Strategy for the Baltic Sea Region. The following activities are to be found under the EFINORD umbrella: "Environmental performance of wood" (Lead: Finland / Ministry of Agriculture and Forestry); "Forestry and water protection" (Lead: Sweden / Swedish Forest Agency); “Sustainable Forest Management in Kaliningrad” (Lead: Swedish Forest Agency); "Baltic landscape" (Lead: Sweden / Swedish Forest Agency); "Creating a Nordic-Baltic information service for forests and forestry" (Lead: Nordic Forest Research Cooperation Committee (SNS) & North European Regional Office of the European Forest Institute (EFINORD); "Management and conservation of forest tree genetic resources in the Baltic Sea Region under changing climate conditions" (Lead: Nordic Centre of Advanced Research in Forest Genetics and Tree Breeding (GeneCAR)); Sub-project 2: "Cooperation in breeding of Norway spruce" (Lead: NordGen Forest); “Hardwoods are good” (Lead: Sweden / Swedish Forest Agency).

Report: The Flagship Project on sustainable forest management in the Baltic Sea Region was established under the newly founded EFINORD, the regional centre of the European Forest Institute (EFI). EFINORD interacts with the EU, especially on policy-related issues, and integrates forest research of the Nordic region into Europe. The network should focus on sustainable forest management, reflecting regional issues, primarily biomass production and ecosystem services, which are high on the agenda for forest owners, industry and society at large. In this sense, EFINORD is well suited to facilitate cooperation and strengthen synergies between the forest projects under the EUSBSR, including reporting and information exchange between the projects. The EFINORD Flagship consists of several independently implemented activities or projects.

At a meeting for the projects within the EFINORD Flagship in Helsinki on November 18th 2010, the organisations involved in the Flagship coordination agreed to join in cooperation under a Memorandum of Understanding (MoU). The MoU presents a vision for the EFINORD Flagship, and outlines the modus operandi of cooperation, including the criteria to accept new projects in the EFINORD Flagship. The MoU is made between the Priority Area 9 Coordinator Finland, EFINORD, represented by EFI and the Nordic Council of Ministers, represented by the Nordic Forest Research Cooperation Committee (SNS).



At the beginning of 2011, there were seven projects (one with two sub-projects) under the Flagship. The projects are at various stages of the project cycle. The project "Hardwoods are good" has received funding (€1.2 million from the South Baltic Programme) and implementation is underway. Four projects/activities ("Improving market communication of wood products' environmental values", "Evolutionary genetic pockets for broadleaved tree species", "Cooperation in breeding of Norway spruce" and "Creating a Nordic-Baltic information service for forests and forestry") have received seed money from the Nordic Council of Ministers. The goal of the seed money is to launch the start-up phase and to further develop project activities. A pilot study of the project "Forest management in Kaliningrad" has been conducted. Of the remaining two projects, "Baltic landscape" is seeking funding and "Forestry and water protection" is still at a planning phase.

  • 9.8. "Network of institutions for management and conservation of plant genetic resources (PGR) in the BSR under changing climate conditions": The aim is to secure sustainable conservation and use of plant genetic resources relevant for food and agriculture. To accomplish this, networks of institutions within the Region are already established to exchange and develop knowledge within the field. This will be expanded to include long-term cooperation for practical, cost-efficient solutions in the management of GR and thereby strengthen the food security in the Region. The first objective will be to implement the common European database for plant genetic resources (AEGIS) promoting the utilisation of PGR in the Region for breeding and research. This could serve as a model for regional collaboration to other European countries. (Cross-cutting theme B: Climate change) (Lead: NordGen. Deadline for finalisation: to be determined)

Report: The project is led by NordGen. The first workshop on a network of institutions for conservation was organised on 30th November and 1st December 2010 in Tallinn. One of the concrete outcomes was a joint AEGIS application on conservation issues regarding rye. A decision was made to postpone the next workshop on user stakeholders in the Baltic Sea Region until spring 2012. This is due to the wish to obtain as much synergy as possible for a new PGR-Secure project, for the current Vavilov collaboration, as well as for the new upcoming public-private partnership for pre-breeding.

  • 9.9. “Establish a Forum for Inventive and Sustainable Manure Processing”, BATMAN, by the exchange of information on how to process manure in sustainable ways in the Baltic Sea Region to minimise the environmental impact, and to obtain benefits such as renewable energy. (Lead: Denmark Innovation Centre for Bioenergy and Environmental Technology (CBMI) and Finland Agrifood Research, Technology Research and Environmental Research (MTT); Deadline for finalisation: to be determined) FAST TRACK

Report: Increased animal production has resulted in environmental problems such as algal bloom caused by manure-based nutrient surplus and leaching in the Baltic Sea. The Baltic MANURE project will turn the perception of manure as an environmental problem into an opportunity for business innovation. The project develops and utilises the high potential and know-how for innovative solutions for manure management, such as production of renewable energy, organic fertilisers and other added value products.

Key messages from the project are:

• Baltic MANURE is turning manure problems into business opportunities

• Baltic MANURE is the Forum for bringing together all stakeholders to improve manure handling and use in the Baltic Sea Region

• Baltic MANURE improves knowledge, stimulates technology development and marketing and gives policy recommendations

Research activities have been set in motion and during the first phase they will include soil and manure sampling and farm surveys in all countries as well as technology overview and drawing scenarios for life cycle assessment of different manure handling chains. First business-to-business activities will be organised at the Poleko Fair in 2011.



  • 9.10. "Recycling of Phosphorus". Recycling of phosphorus is an urgent challenge as it is estimated that the world's easily and economically usable phosphorus will last only 50-150 years. At the same time, the phosphorus load on waters caused by agriculture is a cause for eutrophication. New practices on using an integrated approach should be developed to minimize the leakage of nutrients/phosphorus and to maximize the recycling of all kinds of phosphorus sources in addition to manure. (Lead: Germany together with BATMAN. Deadline for finalisation: to be determined)

Report: Recycling of Phosphorus became a Flagship Project in 2010, the aim being to start the actual work during 2011. Recycling of phosphorus is an urgent challenge as it is estimated that the world's easily and economically usable phosphorus resources will last only 50-150 years. At the same time, the phosphorus load on waters caused by agriculture is a cause for eutrophication. New practices on using an integrated approach should be developed to minimize the leakage of nutrients/phosphorus and to maximise the recycling of all kinds of phosphorus resources in addition to manure.

The project will cover relevant aspects, which are not integral parts of the “Baltic MANURE” project. The leaders of the project are the Julius Kühn-Institut Germany and Agrifood Research Finland (MTT).



  • 9.11. "Reinforcement of animal health and disease control". In the Nordic-Baltic region, veterinary contingency planning has been on the common agenda for some years and some of the experience will be used in future cooperation in the whole Baltic Sea Region. One example is simulation exercises that are considered as a very valuable tool for testing contingency plans established for the control and eradication of rapid-spreading animal diseases. The efforts made to facilitate training in the Nordic-Baltic region in the use of risk analysis and creation of networks for sharing experiences should be explored. In the event of an animal disease outbreak, the Baltic Sea Region will be working on the intention to provide, within their resource capabilities, skilled and competent personnel to respond to the animal disease situation in the affected country. Actions and experience by the Nordic Council of Ministers should therefore be exploited for further cooperation and development, including Nordic-Baltic cooperation in this field. (Lead: Nordic Council of Ministers; Deadline for progress review: To be determined)

Report: The project is led by the Nordic Council of Ministers. Information was not available at the reporting deadline.
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