Industry prices fall due to a decline in production

The decline of industrial prices began in September and October, by 0.1 percent month-on-month, according to data released by the National Institute of Statistics (INS).  Prior to that, prices registered constant monthly growth. Nevertheless, prices are 11.7 percent higher year-on-year.

The global crisis has affected the Romanian industry, with carmakers and car parts producers lowering output, and laying their labor force off temporarily.

Fertilizer producers and other sectors are also affected. “Companies have imposed forced leave on their workers, and are waiting for better times,” according to a statement for Business Standard by Cristian Parvan, the Secretary General of the Association of Romanian Businesspeople (AOAR).

He added that a financial stimulus package is needed to revive Romania’s industry. “Companies that lay off their workers temporarily should be exempted from paying taxes. These companies are making efforts to keep their workers,” Parvan added.