28June2017

Solid Business Conditions of Confectionery Industry

The confectionery is one of the few industries, which has coped well after the liberalisation of the market. It has increased its output by 250 %, increasing its presence at the foreign market and squeezing out the foreign competition from the domestic market.

However, as the Chamber of Commerce said, the ramifications from the global economic crisis are felt in this segment too. Confectionery companies are selling easily, but they have difficulties with charging, and they have a problem with providing funds for the modernisation of production, especially small and micro enterprises. The situation is further complicated by the long procedures and waiting for the control of raw materials, which lasts up to 40 days. “Due to the long period of waiting of results from the analysed samples, companies are forced to import more raw materials which has financial implications and also burdens the warehouses. The records most often do not contain information on when the sample has been taken and in which laboratory it is inspected,” said Vasko Ristovski of SKM. The confectionary industry provides jobs to 1,200 persons and it is comprised by 65 companies mainly small and medium enterprises. The export is mainly relalised to countries from the neighbourhood but also Turkey, USA, Australia and Switzerland. The foreign exchange in 2011 was 40,000 tonnes of which 21,000 tonnes (70 million dollars) were import, while in 2012 it reached 44,000 tonnes of which 18,000 tonnes were import.

Sources: Utrinski Vesnik; Vecer; Telma; Alfa; MIA

Newsletter