Saturday Jul 26, 2014 Search
Weather | Athens
32o C
23o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Threat of closure looms large over domestic steel plants

By Anestis Dokas

The local steel industry has reached the point of no return according to market experts, as the companies’ course toward closure cannot be reversed despite their efforts to stay alive. Government measures appear to be too little, too late and employees are expecting the worst possible scenario.

Domestic demand has reverted to levels unseen since 1962 and the first half of this year has seen the sector hit by huge losses as construction activity is virtually nonexistent. The plants that are still open only operate night shifts from 10 p.m. to 6 a.m., when the power rates are lower, and only from Mondays to Fridays.

The measures announced by the government, amounting to 150 million euros and involving a reduction in natural gas and oil costs, can only help the plants keep going until December, although they are yet to be implemented.

Sources have told Kathimerini that the management of the Constantinos Angelopoulos group will likely reopen the Halyvourgiki SA plant at Aspropyrgos on Monday due to the expiration of the 192 employees’ suspension period. However no one can say what will happen in the following weeks unless there is a rebound in orders.

In contrast, the news from the Nikos Manesis group’s Hellenic Halyvourgia is even worse as the company plans to start handing out dismissal notices to its 100 employees and giving them their severance pay dictated by law.

One steel company official told Kathimerini that “the government announced its measures, but everything has frozen due to the upcoming elections. It is obviously not interested in the sector as the situation is now irreversible for most plants.” The fact that banks aren’t providing any credit relief to the industry’s companies unless they submit a viable business plan is clearly hurting the firms too.

“What steel firms are asking for is the application in Greece of the same regulations that have applied for years in other European Union countries, such as Italy,” the president of the the Association of Hellenic Steel Industries, Alexandros Tiktopoulos, told Kathimerini, in reference to taxation and power rates, among others.

ekathimerini.com , Sunday May 11, 2014 (21:34)  
Trade deficit grows 9.5 pct in Jan-May
Number of 5-star hotel rooms rises 31.4 percent in four years
Greeks get slightly less downbeat
Banks reluctant to issue credit
MP steps in to get power back on at invalid’s home
An MP had to intervene to get the electricity supply restored to the home of a man who requires a machine to help him breathe just days after a woman on life support died in Hania, Crete, as...
Civil servants who changed contracts to undergo checks
State inspectors are to begin checking the circumstances under which thousands of people working in the public sector had their fixed-term contracts switched to open-ended deals in the years...
Inside News
SOCCER
Ranieri says he has little to change in Greek national team
The Hellenic Football Federation (EPO) presented Claudio Ranieri as the new Greece coach for the next couple of years, after the Italian manager signed his contract in Athens on Friday. “I l...
SOCCER
Olympiakos downs AC Milan 3-0 in friendly
Greek champion Olympiakos defeated Italy's AC Milan 3-0 late on Thursday in a friendly match that launched the International Champions Cup in Canada and the US. The result, with goals from A...
Inside Sports
TALK
What lessons can we draw from antiquity?
Our theme is limits. And we are gathered here at this limit of Europe, close the to sea: the limitless, the boundless. And we face all sorts of limits. There are the limits of knowledge – fa...
COMMENTARY
Forty years of shortsighted party policies
It is 40 years since the restoration of democracy, and the two main parties which were established in 1974 and determined the country’s fate since then are unable to act their age. For decad...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Trade deficit grows 9.5 pct in Jan-May
2. Number of 5-star hotel rooms rises 31.4 percent in four years
3. Greeks get slightly less downbeat
4. Banks reluctant to issue credit
5. MP steps in to get power back on at invalid’s home
6. Civil servants who changed contracts to undergo checks
more news
Today
This Week
1. Greek coast guard picks up 77 migrants off Myconos
2. Draghi safety net becoming blindfold as bonds soar
3. Aegean Airlines resumes flights to Tel Aviv
4. Godfather, 35, shot at Karditsa christening dies
5. Police report points to less crime in 2014
6. Thousands of dead fish surface in Lake Pamvotis
Today
This Week
1. Greece seen in third bailout as bonds not enough, economists say
2. Climber dies in Mount Olympus fall
3. Greek sovereign debt at 174.1 percent of GDP in first quarter
4. Unequal after death
5. Hedge fund Dromeus turns Greek tragedy to triumph with 160 pct gain
6. Quadriplegic woman on life support 'dies due to unpaid power bills'
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.