The Chief Executive Officer of one of Malta’s oldest and most well-known manufacturing companies, Farsons Group, believes the sector ought to be given more thought and attention, given the severe impact being faced by the COVID-19 pandemic.
Norman Aquilina was asked to comment in reaction to Prime Minister Robert Abela’s latest round of financial relief measures. Together with the Malta Council for Economic and Social Development (MCESD), an aid package worth some €70 million monthly was agreed upon, aimed at helping businesses retain staff.
Dr Abela explained that a list of critically impacted industries was drawn up, and the Government will provide a wage-subsidy for workers within these industries, paying €800 per month. For workers earning more than that, private employers will pay a maximum of €400 per month, so that workers in the ‘critical industries’ list can earn a maximum of €1,200.
Manufacturing, together with several other industries – real estate, insurance, gaming, finance, logistics and shipping – were left out of the critical industries list.
“This does come somewhat as a surprise considering that certain manufacturing industries, such as Farsons, rely heavily on tourism along with all hotels, bars and restaurants which have now been closed down.
“We can add to that the numerous indoor and outdoor events which are being cancelled or indefinitely postponed, together with the external activities of village feasts. All of this impacts heavily on our own business.”
Mr Aquilina acknowledged that it is still “somewhat premature” to quantify the extent of the damage, when considering disruptions brought about by the COVID-19 pandemic together with mitigating Government measures, however he added that the impacts are likely to intensify in the coming months.
“In spite of the uncertainty, both in terms of impact and duration, nonetheless, the impact is expected to be significant”.
The CEO shared that Farsons is keeping in contact with Malta Enterprise, “to better understand, implement and quantify the new measures announced, however we believe that manufacturing deserves to be given more thought and attention, and we do expect to be given further support in future measures yet to be announced.”
“We are also seeking clarification on the procedures regarding the measures announced as many queries from employees and ourselves remain unanswered at this point in time.”
Farsons is the manufacturer behind Malta’s beloved beer: Cisk. Established since 1928, Farsons Group is engaged in the brewing, production and sale and distribution of branded beers and beverages, the importation, wholesale and retail of food and beverages including wines and spirits, the operation of franchised food retailing establishments and property development.
Prior to the Coronavirus pandemic, the Group reported annual turnover in excess of €95 million. It was the first private non-banking firm to be listed on the Malta Stock Exchange.
Main Image:Norman Aquilina, CEO of Farsons Group