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Zero profits for processing industries in Northern Greece in 2010, with
one in three businesses reporting losses
At the end of August this year, shortly before the Prime Minister
arrived in Thessaloniki for the International Fair, we made public the
results for the sixth consecutive year of 300 company balance sheets
which are members of the Federation whose registered offices are in
Northern Greece.
The main findings of this survey for 2010, for almost all financial
indicators and ratios in the manufacturing sector, show that this year,
like last year, there was a significant decline due to the economic
crisis, which was to be expected. In particular, the main findings of
the survey are:
1. turnover from manufacturing in Northern Greece continued to shrink in
2010, with the result that it reached the lowest level for the last 5
years, down in 2010 by 7.1% compared to 2009 and
2. the net profit margin for manufacturing in Northern Greece in 2010
was significantly down compared to 2009, and stood just slightly above
zero at 0.5%.
It is clear that it is now vital to put manufacturing back at the centre
of the growth process in Greece; a position we have supported over
recent years and which - based on the data from the balance sheets -
must be implemented in order to lead Greece out of the economic crisis.
In order to allow the manufacturing sector to recover, we wish to
reiterate two proposals entailing legislative reforms which, if
implemented, will make a decisive contribution to retaining existing
jobs and ensuring the viability of businesses based in the Greek
regions. These are:
1. the need to introduce an executive body to support industry,
something which is currently missing. The General Secretariat for
Industry could be transformed into such a body, being converted from a
body which simply manages programmes and plans, into a service which
develops a real growth policy for manufacturing and
2. on the other hand, the main issue for the development of processing –
which is a longstanding demand of the Federation - is the need to remove
the numerous barriers – some small, some large - from the way in which
industries operate on a day-to-day basis, and in their dealings with the
State.
As far as the general issue of the recovery of the Greek economy is
concerned, I consider that there are eight ‘developmental aspects’ to
restoring Greece to development and growth over the period to come.
These are:
1. The need to accelerate structural changes related to fiscal
consolidation, so as to improve the credibility and image of the country
abroad.
2. No new direct or indirect taxes must be imposed, so as to protect the
low income brackets in particular.
3. There must be a direct, practical improvement in the sense of
security felt by Greek citizens and Greek businessmen.
4. Development measures must be introduced immediately which will
improve the operation of businesses on a day-to-day basis and which will
help them bolster their competitiveness.
5. Greek businesses must adopt an outward-looking approach and take up a
new, outgoing model of development for the Greek economy.
6. The new draft law on taxation which will be enacted must be valid for
the next five years and must be aimed at promoting development rather
than simply at collecting taxes.
7. Labour should be subsidised rather than unemployment. In other words,
we propose that employer social security contributions be subsidised for
at least the next three years so as to retain existing jobs and lastly,
8. Liquidity must be bolstered, as must the competitiveness of domestic
businesses.
If all these points are implemented then I am certain that they will
have a positive impact, resulting in the recovery of the economy and the
restoration of the country to growth and development.
Previous President's Messages
A new year, with changes in the state and society
Change of Prime Minister accompanied by new expectations about a way out of the financial crisis
Zero profits for processing industries in Northern Greece in 2010, with one in three businesses reporting losses
Only daring decisions will take the country out of this impasse
The Federation’s Proposals for development
The need to take measures to immediately bolster the economy and improve business competitiveness
A new year – new expectations for growth and development
Developmental measures to offset unemployment benefits with job subsidies
Enhancing "Greek Value" by resolving problems that drag on
Greece’s rise in the IMD World Competitiveness Yearbook ranking is encouraging news amidst the crisis
The Federation of Industries of Northern Greece making a decisive contribution to manufacturing strategy up to 2020
The government's immediate priorities in 2010 to develop the infrastructure in Thessaloniki and boost the competitiveness of manufacturing enterprises
Expectations from the new government: the manufacturing sector should be the new government’s focus
Industry should be among the Government’s policy priorities
Industry centre stage again
Proposals for avoiding the financial crisis
Bold decision-making for avoiding the financial crisis
Prospects for growth in Northern Greece in an environment of international crisis
Investment Law and Northern Greece
The market of izmir: the next goal for outward-looking enterprises of
northern greece
The
new government’s aspirations for thessaloniki and northern greece:
fing’s proposals for development
Thessaloniki and Northern Greece in International Markets
Regional
development policy as an engine for local industrial development
Global
orientation, productivity and realistic management of the National
Strategic Development Plan (NSDP). The challenges for 2007
Investment Law and Northern Greece
The new
legislative framework for research and technology in Greece: a
government nod of approval for the proposals made by the Federation of
Industries of Northern Greece (FING)
Thessaloniki has the potential to become the second pole of development
for Greece and the headquarters for development organizations nationwide
Changing
attitudes to combat unemployment – Proposals for creating closer links
between education and production
Support
for the Regions: From now on, policy actions and not just policy
announcements
The
business community – a force for social cohesion in Northern Greece
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