Lithuanian companies prepare for the second wave of COVID-19: support plan, work rules are being considered, certain assets are accumulating

Preparing for the worst

Speaking about the possible second wave of the coronavirus, Vidmantas Janulevičius, president of the Confederation of Industrialists of Lithuania (LPK), assured that today’s industry is guided by the forecast of the second wave of the virus, so there is a certain feeling in the business community.

This, he said, makes business planning more difficult today, even though it is very important for the industry to have a stable and predictable business environment.

“Companies, many of which are still facing the aftermath of the first wave of the pandemic, are preparing in a very responsible way for a possible new outbreak of COVID-19: the acquisition of protective equipment, supplies of disinfectants, etc.

There are also specific rules on how companies will restructure in the event of a second wave bigger or smaller, what measures they will take, ”he told Delfi, adding that the impact of the second wave on business can be very different.

“As for the most vulnerable sectors, companies can not only slow down, slow down, stop, but also go bankrupt.”

Those who had accumulated “drops” of financial reserves had already used them to recover from a coronavirus outbreak. The full impact of the pandemic and the subsequent quarantine on the economy is still unknown, but the complexity of the situation is reflected in the figures: exports from the European Union (EU) fell by 28% in April, during the strictest quarantine , and Lithuanian exports in April. decreased by 21 percent. The European Commission predicts that by 2020 world trade could be reduced by up to 16% and EU exports of goods and services to third countries could be reduced by up to 15%, the OECD predicts a contraction in economic activity of up to 35% “, said Janulevičius, saying that all this uncertainty in the business environment was very significant. Concerned.

According to him, the current task of the state should be to alleviate this concern, and in the case of a second wave, the government should react immediately and be prepared with more effective and flexible instruments to help companies.

“As demonstrated by the first phase of the crisis in the spring, business support instruments are not always valid in reality and are adapting quickly enough.

“It is very important that the DNA Plan funds for the future economy, the economic stimulus packages, the support of the EU funds are aimed at increasing the value of production and strengthening competitiveness, strengthening the important sectors for the stability of our economy so that we can survive the next quarantine wave, “he said. LPK President V. Janulevičius.

Accumulates security equipment reserves, has more stocks of goods

Ernesta Dapkienė, director of Maxima’s Department of Communication and Corporate Affairs, told Delfi that the retail network is currently closely monitoring the situation regarding COVID-19 both in the world and in Lithuania, and today it has accumulated a reserve of security measures.

“The biggest challenge in the first months was dealing with security measures. At the moment we have already accumulated a stock of products: masks, gloves, disinfectants. We have learned to work in quarantine conditions,” he said.

Speaking about the slightly modified habits of Lithuanians buying products during quarantine, the manager also stated that store chains never experienced a shortage of food or industrial products.

“As we have repeatedly announced, sometimes the shelves have been emptied because it has been difficult to anticipate the ever-changing flows and needs of customers,” he said.

E. Dapkienė emphasized that during the quarantine, the business network has repeatedly spoken publicly to make a decision by the government and to investigate people working in the business sector, as well as doctors, about the coronavirus as a matter of priority.

Irina Miklienė, Head of Supermarket Management at Rimi Lietuva, also made no secret of the fact that the retail chain is preparing for the second wave.

“As the quarantine continued, we thought and decided how to ensure the greatest possible safety for Rimi employees and customers, so we introduced, and regardless of the requirements for in-country coronavirus morbidity statistics or official requirements, the Rimi network has a security standard. “

According to him, all Rimi stores have tools to disinfect shopping carts and baskets, which customers can use as needed. Also in all supermarkets, at the entrance and exit of the sales room, there is a hand disinfection station available for customers, ”he said, adding that the list of disinfectants for workers was also supplemented by masks and protective shields. .

“We have large stocks of them, as well as disinfectants, in Rimini’s warehouses,” he said.

When asked if the warehouses are full of longer-lasting products for sale, I. Miklienė confirmed this.

“Quantity of durable goods, toilet paper and other goods in demand during the first wave of coronavirus, i. Stocks in Rimi’s warehouses are currently higher than normal.

We do not collect them specifically, but based on the experience we already have, we work with suppliers accordingly to ensure that when demand for these goods increases, their supply is not interrupted or in short supply, ”he said.

The economy would no longer close like this

Representatives of the Ministry of Economy and Innovation also asked Delfi if and how to prepare for the second wave.

According to them, if the wave were to repeat itself, it would be much easier for the ministry to react when it comes to helping business.

“It is likely that even with the second wave of the coronavirus, the shutdown of the economy will not occur and companies no longer need to be severely restricted.” Furthermore, it will be much easier for the Lithuanian economy to overcome the second wave of COVID-19 if we have it, because companies, society and the government sector already have experience in responding to such a situation.

The Ministry of Economy and Innovation will strive to ensure that as few companies and sectors as possible are directly affected by the possible second wave and is ready to respond flexibly and distribute commercial support faster, “said responses sent by the ministry.

It is also claimed that, in preparation for the second wave, the ministry has already discussed various possible scenarios and action plans.

“If the first wave saw the rapid adaptation of existing business support measures and the creation of new ones from scratch, we now have a complete set of tools that we can adapt very quickly, avoiding past mistakes and evaluating new challenges.”

If we had, we will update or expand the liquidity facilities that have the greatest effect and are most easily accessible to the company (preferential loans, micro subsidies under the de minimis scheme, partial interest compensation).

In addition, business support measures are advancing and the list is still being completed: a commercial credit guarantee instrument is planned to be launched in the second half of August to help our exporters. There are also a number of new measures to increase access to business finance. We plan to present the measures to the Government in August, ”said the representatives of the ministry.