The IMF also predicts the economy would contract with 4.3percent this year.
According to economist Faycal Bradai in the Tunisian Union of Trade & Industry, vinyl manufacturing in the Nation dropped by approximately 20 percent between March and June of the year.
The plastics industry, which falls under the domestic chemicals sector, has enjoyed steady growth recently, together with free trade zones across Tunisia’s shore becoming home to countless producers.
A number of these businesses have been exporting exclusively to Europe, Tunisia’s biggest trading partner. It is a place where, by EU data, 80 percent of the nation’s goods were sent in 2017.
For the most part, automobile parts are the primary export of Tunisian makers to auto companies in Germany & France.
Faycal Ben Hammuda is a commercial engineer and overall manager at Plasteel, a Tunisian automobile manufacturing firm. With over twenty-five-years’ expertise in the industry, the 58-year-old states that new technology is discovering the business’s future.
“We’ve been buying a high-tech cutting edge machine, to create metallic components, rather than purchasing them,” he informed Euronews. “We did so in response to our customers around the globe demanding the maximum production standards”
Like most of its peers, Plasteel was not able to avert the financial effect of COVID-19. The business has reserved losses of about $1.9 million with several workers taking 20% reductions.
Abiding by interpersonal distancing principles, only ten workers stayed onsite at a single factory unit through lockdown, to finish outstanding requests for overseas customers.
Omar Chakchak, the president of Tunisia’s National Union & Chamber of Plastic Processor Manufacturers, sees a slow improvement in the nation’s plastics sector. It Might Take some time, but he states:
“Our firm’s real worries today, together with the discovery of more instances of COVID-19 in Tunisia, are outbreaks in certain industrial components “
The prognosis remains unclear for a lot of Tunisia’s industrial producers, and nationally unemployment climbed to 18 percent in the next quarter.
Many companies are now expecting that the authorities and also the central bank will do more to encourage them in the months beforehand. Which could, some analysts say, finally let Tunisia fulfill the dream of getting a world-class plastics hub for North Africa.