Industry Day came at a special time. With an expected fall of 13.5% in the SME industry for this year, businessmen's expectations are gradually adjusting and the recovery horizon looks closer. For the next six months, only 11% of businessmen in the sector believe that the economy may continue to decline.

At CAME we estimate that, if the health situation stabilizes in October, a gentle reactivation in the SME industry will begin to be observed from November onwards.

However, the start-up of the factories on their special day invites us to reflect on what the national industry looks like post-pandemic and the challenges ahead.

The Argentine industry has a history of encounters and disagreements, which since 2003 began to be resolved after the decision to place it as a pillar in national development. It was understood that it is difficult to think of development without industry, but at the same time there is no industry without a State that accompanies, regulates and generates conditions for its growth. Even so, that objective has not been achieved.

Missing? According to a survey carried out by CAME among 300 companies in the country, the perception of SME industrialists is that, to promote post-pandemic recovery, the industry urgently needs:

1) A tax reform with the focus on the reduction of VAT, the simplification and elimination of the tax on bank debits and credits.

2) A labor reform with a reduction in compensation and employer charges, and the creation of an unemployment fund.

3) Reduction of financial costs: re-implement credits at subsidized rates of 21% to finance investments, and reduce the multiple costs charged for managing bank accounts.

4) Investments in R/D: increase funds allocated to research and innovations linked to the industrial sector, both with contributions from the State and with benefits to the private sector.

5) Development of a renewable energy program to reduce the cost of that resource that has a high impact on industrial costs.

6) Defend the national industry: months are coming where the local industry needs to recover with a weakened consumer market. This will require working to limit imports, without affecting the production process and promoting intermediate industries.

7) Recover and develop the domestic market: essential so that we can think about exports with greater added value.

For this, permanent dialogue with national authorities and the Legislative Branch is necessary, in order to carry out an industrial process that is sustainable.

At CAME we advocate for a federal SME industry, with permanent training, innovation and diversification.

https://redcame.org.ar/