Sewing and footwear industry: new support measures

Members of the Committee on Economic Policy, Budget and Finance in the course of the meeting that started the working week, unanimously supported adoption of law on amending the law “On additional measures aimed at stabilizing the economy of Pridnestrovie”. The Government acted as the author of the law-in-draft at the request of the Union of Industrialists, Agrarians and Entrepreneurs of Pridnestrovie.

The essence of legislative innovations is that the state reduces the tax burden for enterprises of these sectors, and the savings to increase the salaries of employees of primary production. Regular measures to support the leading branches of the Pridnestrovian economy suggest the provision of tax benefits in the form of reduction in the coefficient when working with the customer-supplied raw materials from 1.7 to 1.05. At the same time, there is an important condition: the average annual increase in the average wage of the main production workers (seamstresses and workers directly involved in the production of footwear) is not less than 7% annually. These measures will help enterprises of the clothing and shoe industries to retain skilled workers as well as attract new ones. This is especially important taking into consideration the fact that currently there is a shortage of seamstresses in the republic of more than 400 people.

It is proposed to use state support aimed at preserving workers, during 2019-2021.

The legislative initiative was fully supported by members of the relevant parliamentary committee on economics.

The law-in-draft on additional measures to support enterprises of the clothing and footwear industry is planned to be considered already during the next plenary session, scheduled for May 15.