Greek textile industry hit by high energy cost

Greek enterprises from the textile industry facing very serious problem of high energy cost which is hitting their competitiveness to other global market. For which a meeting was held between the presidency of the Association of Greek Textile Industries (SEVK) and Environment & Energy Minister George Stathakis on Tuesday.

The Association during the meeting, presented a fully-detailed memorandum with the industry’s positions and recommendations over a series of measures needed to rescue textile industries and to become a growth tool for the economy once again.

The Association repeatedly underlining the very serious issue of high energy cost that burdens productive activity and undermines development of the sector, presented a series of proposals, such as harmonizing high-voltage and low-voltage charges, adopting new directives on state support in energy and environment, a strict timetable of actions to adjust the domestic electricity market to requirements of an EU Target Model and rescheduling of the existing debt of the industry.

Lack of strategic planning by governments to support Greek production, combined with a wave of imports of textile products from countries with cheap labour and energy cost, hit the sector, closing down large traditional factories and raising unemployment in the country.

The Association said that Industrial activity, including the textile industry, is down 70-80 percent since 1980.