Total of 80 pct of Czech exporters struggling with orders

A total of 80 percent of Czech exporters are facing setbacks due to the anti-coronavirus restrictions, with almost 20 percent having lost all orders and 61 percent struggling with a declining number of orders, according to the latest survey conducted by the Confederation of Industry among 111 exporters.

On the other hand, more than 20 percent of respondents said their foreign clients have not cancelled a single order. As many as 43 percent of Czech exporters are receiving no new orders from abroad and 45 percent are receiving fewer orders than before the coronavirus crisis. Apart from the declining orders, respondents are also facing difficulties with logistics, which are being complicated by bureaucracy, checks and long queues at borders. The survey has also shown that a lot of companies have insufficient information on the state aid they may use.

Three quarters of respondents are considering using the Foreign Ministry's PROPEA programme.
Twelve percent of exporters intend to apply for support via export guarantee and insurance company EGAP and 43 percent are considering it. More than a third of companies want to use free consulting offered by state-run agency CzechTrade. According to Lukas Martin of the Confederation of Industry, exporters would welcome state support for their participation in foreign trade fairs and exhibitions. "The Czech economy is directly dependant on exports.The ratio of exports to GDP in the country reaches about 80 percent," he said.

Source: ČTK