The Croatian Chamber of Trades and Crafts (HOK) has submitted a request to the Ministry of Economy for the continuation of subsidies for energy costs for craftsmen, warning that the absence of these measures and the increase in energy prices would jeopardize their business and survival.
HOK states that the previous application of government measures has saved a large number of craftsmen from ceasing operations.
Any increase in energy prices will cause a new chain increase in input costs, not only for energy, e.g., for heating or as driving energy, but for all types of input costs, as higher prices will also result in increased prices of all input components of business and all suppliers, according to HOK.
It warns that in such circumstances, competitiveness is compromised, which will lead to closures due to unprofitability, with the only other option being to pass on increased costs to higher prices for products and services, which would endanger consumers. Furthermore, it is emphasized that price increases have limits beyond which demand drastically decreases due to price, leading again to business cessation.
HOK President Dalibor Kratohvil states that measures to reduce energy costs for craftsmen need to be continued, taking into account current circumstances, but also to ensure continued support for their business.
– The government has so far shown that it is a partner to Croatian craftsmen in every opportunity, and we hope for continued understanding of the specific circumstances in which craftsmen live and work, as well as an understanding of what craftsmanship represents for the economy and society itself. There are almost 120,000 of us, and we employ 14 percent of the total number of employees in Croatia, we are continuously and significantly growing, but we need constant care and support – says Kratohvil.
