Crisis, buying power reduced

“The reduced consumption which is reflected in the reduced incomes of the domestic business could reach 10%. This is noted in all domestic production, especially those that are for domestic consumption”, declared Alban Zusi from the Center of Business Clusters.

Reduced production is bringing a decreased number of employed people, a negative cycle that will be reflected with a further drop of the buying power. In these conditions, businessmen think that the taxes which artificially increase the domestic production cost should be reviewed.

“The raw material taxes that in fact have been conceived to protect the domestic production do not protect it at all. VAT on agro-industrial products, which is 6% for purchases and 20% for sales, is in fact at tax on the domestic product that artificially increases the cost of the domestic product and makes it less competitive when it is sold formally in supermarket networks”, Zusi declared.

The Busienss Cluster Center declared that the political action for facilitating business is being made for electoral purposes. Taking separate measures could have the opposite effect.

“We will have reduced budget revenues and could face a situation that would make any government that could come after the elections to increase or even double taxes”, Zusi says.

Top Channel