Konfindustria: No progress in main industries

TIRANA, July 26 – The situation in the country’s main industries in the first half of 2010 was almost the same to that of last year with liquidity needs continuing to remain a problem. The conclusion was given by Konfindustria, an association made up mostly of Albanian manufacturers, which introduced last weekend a comparative 6-month report on the situation of the production industry.
Despite the improvement in exports in some manufacturing industries, such as shoes and textiles, the sale and profit indicators in other important industries such as food production, and construction deteriorated in the first half of this year.
According to Konfindustria’s director general Gjergj Buxhuku, the flour and meat industry preserved its sales stability in the first six months of this year compared to the same period a year ago but suffered lower profits.
“This was mainly a result of coordinated and cumulative action of the depreciation of Lek (the national currency) against the US dollar and at the same time the increase in raw material prices such as grains and meat in international markets,” Buxhuku told reporters in a press conference.
The report showed a drop in sales and profit of alcoholic beverage industries, beer and canning industries.
Several industrial sectors linked to construction, which has been in a recession during the last quarter of 2009 and in the first three months of this year, also registered negative indicators.
According to Konfindustria, the mechanical, steel production, iron ore and tin processing, plastic and paper industries had a negative year-on-year performance in the first six months of 2009 and suffered delays in payments for ordered products.
Meanwhile, the performance of electricity, oil and mineral production industries registered a significant improvement compared to the first half of 2009.