Only 8% of light industry companies are operating at full capacity as the sector continues to suffer from the effects of the war
3 October 2024 12:36
The vast majority of Ukrainian light industry enterprises have not been able to return to their pre-war capacities in the third year of the full-scale war. This is evidenced by the results of a sectoral analysis conducted by the Institute for Economic Research (IER) in August 2024, "Komersant Ukrainian" reports.
Thus, in August 2024, only 8% of Ukrainian light industry enterprises were operating at full capacity. Another 31% used their capacities at 75-99% of the pre-war level.
21% of companies operated at minimum capacity – up to 25% of the pre-war level.
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As reported by , a lack of skilled labour remains a key obstacle for most companies in the sector. Other problems include unstable demand and power outages.
More than 30% of companies said they had no orders even a month in advance. And in July 2024, the industry lost an average of up to 15% of its working hours due to power outages, which significantly affected production volumes.
Despite the difficulties, most companies in the industry continue to have optimistic expectations. 41% of consumer goods companies expect sales to increase in the coming months, while only 5% expect sales to decline.
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