Exports fuel Poland’s white goods production

Poland’s white goods production increased by 25 percent between 2013 and 2016, from over 18 million to an estimated 23 million pieces, according to a report by research firm TNS made for industry association CECED Polska. The total value of white goods (washing machines, dishwashers, fridges etc.) manufactured in 2015 stood at PLN 17 billion. “The industry in Poland has made an enormous leap over the past 10 years. Our production plants are production complexes now, comprising R&D centers, laboratories, supply chain departments as well as a back offices maintaining their functioning. We want the industry to be rooted in Poland, both in terms of production and all the aspects surrounding it,” said Adam Cich, CECED Polska’s president of the management board, and General Manager CEE of Electrolux Major Appliances. The increase can largely be attributed to the growing exports of Polish white goods and household appliances, as 90 percent of all white goods and household appliances produced in Poland are exported. In 2005, white goods accounted for 1.82 percent of Polish exports, while ten years later they made up 2.52 percent of the total exports value. “Foreign capital is the main reason why Poland has become a leader in white goods production in Poland. Many investors have chosen Poland because of its excellent workforce and labor costs lower than in Western Europe. Poland also offers lower transportation and logistics costs. We are still very competitive compared to Asia, where a lot of white goods are produced too,” Cich added. Poland’s top exports markets for white goods and household appliances are Germany (21 percent), the UK (13 percent), France (12 percent), Italy (8 percent) and Russia (6 percent). Poland exports mainly washing machines (23 percent of total white goods exports), fridges and freezers (19 percent), cooking appliances, dishwashers and small household appliances (14 percent each). “The biggest challenge before the industry is, in my view, fighting stereotypes, such as calling Polish plants ‘assembly lines’ or talking about a shorter lifecycle of products. We will continue to debunk these stereotypes,” said Wojciech Konecki, CEO of CECED Polska. There are 25 white goods production plants in Poland, employing 22,500 people.