Softshoes director: 'The 2016 anti-crisis measures helped to retain the remaining markets'

11/21/17 11:18

Softshoes director: 'The 2016 anti-crisis measures helped to retain the remaining markets'

The Supreme Council and the government will continue to support domestic footwear manufactures. The income tax will be reduced in this sector in January

Tiraspol, 20 November. /Novosti Pridnestrovya/. The Supreme Council supported domestic footwear manufacturers in 2016. Legislators adopted a package of anti-crisis measures, reducing the tax burden several times, the parliament's press service reports.

Before that, the situation in the footwear industry had been deteriorating for several years because of incorrect management decisions. For example, an Italian investor planned to quit the factory. The measures taken by the parliament allowed the manufacturers to stay afloat.

"If we had been heard six years ago, the situation would be better. We could have retained the Russian market. The 2016 anti-crisis measures helped to retain the remaining markets. Because of the high tax burden, the price of our products is also on the rise, making it uncompetitive. We can lose markets very quickly, but regaining them may take years," explained the director, Yuri Cheban.

After examining the situation in the industry, the Supreme Council and the government decided to continue to support domestic footwear manufacturers. Since January the income tax in the industry will be reduced. In addition, tax preferences will be granted to a number of industrial sectors. Softshoes believes this will increase exports, including to Russia, and thus replenish the budget, secure social guarantees.

Softshoes is one of the leading enterprises in the footwear industry. The factories in Bendery and Rybnitsa produce over 4,000 pairs of shoes a day. Marketing geography is very broad —  from Europe to Australia. Footwear brand FLEXX is known in 80 countries of the world.  Brand shoes are available in Pridnestrovie as well — in the Softshoes corporate chain of shops across the country.

The factory employs 1,200 people, 60% of whom are young workers.  Students of the trade and technology college traditionally undergo industrial practice at the factory, mastering professional skills.

 

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