In wood and furniture, six out of 10 companies recorded sales falls exceeding 70%

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58 percent of wood and furniture manufacturers recorded a drop in sales that exceeds 70 percent year-on-year, and another 20 percent recorded declines of between 50 and 70 percent.

The data is provided by a study presented today by the Argentine Federation of the Timber and Related Industry (Faima) in which 330 companies from the sector participated.

According to the report, 60 of the sample still could not access the 24 percent credit line for the payment of wages, while 57 percent warned of the presence of checks rejected in April.

Given the slow pace of banks in granting loans, most companies in the wood and furniture sector had to decapitate to meet the commitments.

The problem is that it is an industry that has been hit since last year.

In Córdoba, the furniture industry falls 20% and they see no signs of improvement

“Most of them will not be able to use their own funds again in the coming months, leaving SMEs in a situation of high financial fragility,” Faima said in a statement.

Among the reasons for the lack of access to credit, the entity explained, the lack of information on the part of the entities stands out, especially far from the main urban centers, the demand for the full payroll of employees and the request for greater guarantees, ignoring tools such as the Argentine Guarantee Fund (Fogar).

“To the impossibility of selling in commercial premises, the lack of public-private work or access to finished work for equipment, there is a very long delay by banks in granting loans or applying current regulations that put the sector in a worrying situation “said Pedro Reyna, president of Faima.



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