The slow recovery in international trade should lead the government to extend public guarantees to exports for at least another quarter. The novelty was put forward this Sunday by the Secretary of State for Internationalization, Eurico Brilhante Dias, after a visit to the most important shoe fair in the world, which is indeed the mirror of the desolation that the pandemic has installed in many many exporting sectors, including footwear.
The agreement that the government has reached with insurance companies, to reduce the risk exposure of exporters with state guarantees in short-term operations for the community market, was sealed in June and is valid until the end of the year. However, Brilhante Dias already predicts that it will be necessary to extend it, although he stresses that the decision depends on an assessment that will not be made until December.
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“The European Commission is authorizing this extension and, at this time, we do not anticipate, given the circumstances of the market, that it will be possible to withdraw official support for export credit insurance.” , said Brilhante Dias, interviewed by the PUBLIC.
The Minister understands that, despite the efforts to reopen the economy in the world after the imprisonment, “the market [externo] continues to operate in a very unbalanced manner ”. For this reason, the government will intend to take advantage of the Brussels decision, which allowed Member States to give public guarantees in sales operations on the European Union market, temporarily authorizing State aid. which could only be granted in additional market sales. -community. Now, since there is such a possibility, the government of António Costa seems aware that the level of the recovery is well below what would be necessary to calm the insurers who, in the face of the recession in foreign trade, have sharply reduced coverage and even canceled thousands of policies. which provided export coverage.
“The Portuguese government maintains an assessment of the model it has implemented [em Junho] and looking at it today, in September 2020, it seems difficult to us that the system is not extended ”, underlines the Secretary of State. “A decision will surely be made in December, but given that the market continues to operate in a very unbalanced manner, it needs public intervention to have greater risk coverage in the export process.”
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Asked about the Agency for Investment and Foreign Trade (AICEP), whose management chaired by Castro Henriques ended its mandate in December 2019, the minister promised news soon.
“The board of directors has already closed the accounts and the government will appoint the administration very soon,” said Brilhante Dias, in response to the PUBLIC. “It will surely be in a very short time.”
The journalist travels at the invitation of Apiccaps